BAE Systems has signed a memorandum of understanding (MoU) with Saab Australia to maximise the participation of local industry in Australia's Land 400 Phase 2-Mounted Combat Reconnaissance Capability programme.
The company has partnered with Finnish firm, Patria, to compete for the project, which focuses on delivering a replacement for the Australian Light Armoured Vehicle (ASLAV).
The MoU is expected to enable the BAE-Patria team to substantially surpass the 200 Australian advanced manufacturing jobs and $100m in supply chain value it has already identified for the manufacturing phase of the programme.
BAE Systems Australia Land and Integrated Systems director Graeme Bent said: "With Land 400, BAE Systems seeks to strengthen Australia's advanced manufacturing capability and maximise Australian industry involvement within its supply chain.
"Our offer will replicate overseas success for manufacturing and sustaining the Patria Armoured Modular Vehicle (AMV), in Australia.
"The vehicle has been successfully manufactured in countries outside of Finland and has a strong track record for technology transfer to user nations."
Under the terms of MoU, Saab will supply key sub-systems and in-service support, while further developing the Australian capability in the combat vehicle market.
Saab Australia managing director Dean Rosenfield said: "Land 400 provides additional opportunities for local manufacture, assembly, integration, and in-service support that will not only assist us to achieve these aspirations but will be vital in growing local industry capability to effectively deliver and support combat vehicles for the ADF."
As per the proposed solution, the team will fully address the army's requirements by bringing together their combined strengths in the global armoured combat vehicle market.
The two companies will transfer intellectual property and design artefacts for manufacture, sustainment, and upgrades throughout the vehicle's life of type.
The vehicles will be sustained in Australia for the next 30 years. The team will finalise its proposal for bid submission before disclosing additional information about the contribution of the local industry.
Image: The Australian industry will have greater involvement in its bid for a major combat vehicle programme. Photo: courtesy of BAE Systems.