€693 million joint Estonian, Latvian military vehicles tender signed
Estonia has signed a €693 million procurement deal for new wheeled military vehicles including trucks.
The arrangement means Estonia will be able to obtain brand new equipment for itself rather than relying on those previously used by allies, and has also been conducted jointly with Latvia.
The Estonian Center for Defense Investments (RKIK) signed the contract with heavy vehicle manufacturers Scania, Veho and Volvo for the supply of various types of vehicles over the next seven years.
Erko Sepri, vehicles, machinery and logistics strategic category manager at the RKIK said: "So far, the EDF have mostly been equipped with those vehicles which have been previously used by allies, but due to the heightened security situation in Europe, these resources have been depleted.
"Now, for the first time ever, we have the opportunity to order new vehicles for the EDF, based on their exact needs," Sepri went on, via an RKIK press release.
Maj.Raigo Puusepp, Chief of the Technical and Weapon Systems Department at EDF HQ, said: "With the first stage of the procurement, the acquisition of nearly 400 vehicles is planned, which represents a turning point in the modernization of the EDF's technical park."
"The introduction of a new generation of vehicles will ensure the sustainability of logistical support for the EDF, ease of access to spare parts, and the boosted effectiveness and mobility of our units."
The project is particularly large-scale, Sepri noted, and as such had met with fierce competition from among nearly a dozen companies taking part.
Veho AS won the tender for vehicles up to 5 tonnes in mass, Volvo Estonia AS and Scania Estonia AS did so for vehicles over 5 tonnes.
The vehicles comprise both logistic vehicles designed for road use and tactical vehicles capable of off-road as well as on-road operation.
The vehicles are ordered and delivered in partial deliveries, with the first vehicles being delivered next year.
The seven-year terms of the agreement also include a three-year extension option; the procurement covers not only the EDF but also the volunteer Defense League (Kaitseliit), the Police and Border Guard Board (PPA), and Latvia's Ministry of Defense and defense forces.
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Editor: Andrew Whyte