Turkish land systems manufacturer Otokar has established a joint venture (JV) agreement with Romanian defence contractor Automecanica to produce the Otokar Cobra II 4X4 armoured vehicles.
The JV with Automecanica aims to bolster local manufacturing capabilities and enhance Romania’s defence infrastructure.
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Under the terms of the JV agreement, Otokar Land Systems and Automecanica are set to equally share ownership, each securing a 50% interest in the newly formed enterprise.
The partnership entails the production of COBRA II 4×4 ATBTU armoured vehicles on Romanian soil and extends to incorporate engineering services, marketing efforts, and after-sales support within the region.
As part of Türkiye’s conglomerate Koç Group, Otokar has embarked on an important phase within its 1059 COBRA II project. This project was initiated following an agreement with the Romanian Ministry of Defense in November 2024.
The initial phase of the contract stipulates the production of the first 278 vehicles in Turkey, with subsequent manufacturing to be carried out in Romania.
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By GlobalDataThe delivery process is scheduled to begin in the last quarter of 2025 and will occur in stages over the next five years.
The COBRA II vehicles with a modular design, measures 6,400mm in length and 2,400mm in width, and can accommodate up to 11 personnel, including the driver and commander.
Otokar CEO Aykut Özüner said: “Being a global player in the defence industry, Otokar has become Turkey’s largest land platform exporter. We proudly operate in many different regions over the world with our military vehicles, which are successfully serving in more than 40 countries.
“As part of our ongoing project in Romania, we are pleased to announce that we took the first step for the establishment of our new joint venture company for manufacturing our legendary COBRA II vehicles in Romania. This step will be one of the main milestones in Otokar’s growth strategy in defence industry, contributing to our company’s expansion in global markets.”
GlobalData predicts Romania’s defence budget to reach $9.7bn by 2029, with a compound annual growth rate (CAGR) of 2.4% from 2025 to 2029.
The cumulative defence expenditure for the period of 2025–29 is projected to be $46.3bn, a significant increase from the $33.7bn recorded from 2020–24.
Acquisition spending is also expected to rise from 33.8% of the total defence budget in 2020 to 45.2% by 2029.
