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The Commonwealth government has delayed the long-awaited decision on a procurement plan for the Army’s next-generation infantry fighting vehicles.
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The Albanese government has announced it would postpone the selection of a preferred tender for the $18 to 27 billion LAND 400 Phase 3 project — aimed at procuring and supporting up to 450 next-generation infantry fighting vehicles (IFVs).
A final decision will now be subject to recommendations handed down by the Defence Strategic Review in March.
The government had previously committed to selecting a preferred tender before the end of 2022.
Two contenders remain, Rheinmetall Defence Australia (RDA) and Hanwha Defense Australia (HDA).
RDA, which has committed to basing its manufacturing operations in Queensland, is proposing its Lynx IFV.
HDA, which has formed a cross-state partnership with local firms in Victoria and Tasmania, is proposing its Redback IFV.
Both vehicles have completed a two-year Risk Mitigation Activity (RMA).
“I would like to thank Hanwha Defense Australia, Rheinmetall Defence Australia and the many other companies involved in this tender process for their understanding and professionalism,” Minister for Defence Industry Pat Conroy said.
“The government remains focused on Australia’s future defence capability. We don’t want to pre-empt the findings of the Review, which is especially critical given the rapidly changing strategic circumstances facing our nation.”
Once delivered, the new vehicles will replace Army’s M113 Armoured Personnel Carriers, which have been in service since the mid-1960s.
The IFVs are expected to enable Army to sustain mounted close combat operations against emerging and future threats as part of a joint force.
