Rheinmetall Defence Australia has announced their successful tender for the $5 billion LAND 400 Phase 2 contract. Under this contract, Rheinmetall is set to deliver up to 225 combat reconnaissance vehicles to the Australian Army, with over 100 of the new military vehicles to be based in Lavarra Barracks, Townsville and Gallipoli Barracks, Enoggera.
Rheinmetall Defence Australia’s BOXER 8×8 Combat Reconnaissance Vehicle for the LAND 400 Phase 2 Credit: boxercrv.com.au
Opportunities are expected to grow in Queensland after Rheinmetall Australia’s big win in the hotly-contested LAND 400 Phase 2 program. The first 25 military vehicles will be built in Germany. Australians will be put into teams to learn the necessary skills in Germany before coming back to Australia to build the remaining 200 CRVs. Most of the military vehicles will be built in Queensland.
In a statement, Minister for State Development, Manufacturing, Infrastructure and Planning Cameron Dick said, “The LAND 400 Phase 2 contract to deliver the next generation of combat reconnaissance vehicles to the Australian Army is a catalytic project, and attracting a global defence giant like Rheinmetall to Queensland will create opportunities for local industry for decades to come.”
The project is expected to be an economic game-changer since it will create 450 advanced manufacturing and engineering jobs for Queenslanders. It is expected to contribute $1 billion into the state’s economy in the first 10 years.
Three Brisbane businesses that had teamed up with Rheinmetall will particularly benefit from this project. These are NIOA based at Brisbane airport, G & O Kert at Acacia Ridge, and Hilton Manufacturing at Wacol. These companies will hugely benefit from the transfer of technologies and skills, making them even more competitive. This opportunity also opens up more work for locals in Brisbane and nearby suburbs, and provides more highly-skilled jobs in the local community.
Following the successful bid for the LAND 400 Phase 2 program, Rheinmetall will establish its manufacturing hub, the Military Vehicle Centre of Excellence (MILVEHCOE) in Brisbane.