U.S. Army awards $797M armored multi-purpose vehicle production contract to BAE Systems

With a $797 million contract from the U.S. Army newly in hand, BAE Systems will continue production of the Armored Multi-Purpose Vehicle (AMPV) in the days ahead, entering into full-rate production. 

As of this month, that made the AMPV the first newly-designed and built tracked vehicle to reach full-rate production in 30 years. It will replace a fleet of Vietnam War-era M1113 vehicles and should provide upgrades to survivability, mobility, and interoperability for users. These will include a variety of vehicles, such as:

• General Purpose vehicle: conducts resupply, maintenance, and evacuation operations
• Mortar Carrier: offers immediate heavy mortar fire support during combat operations
• Medical Evacuation vehicle: allows immediate treatment or evacuation for ambulatory and litter casualties
• Medical Treatment vehicle: a first-of-its-kind mobile operating room meant to deliver life-sustaining care to soldiers with life-threatening injuries
• Mission Command vehicle: manages digital missions, providing tools for command, control, and communications capabilities on the battlefield

“Entering full-rate production is a momentous milestone in the lifecycle of a production program for both the U.S. Army and BAE Systems,” Jeremy Tondreault, president of the Platforms & Services sector at BAE Systems, said. “The AMPV is the next-generation replacement for the venerable M113, and we are proud that this critical capability is on its way to the men and women who need our most capable combat vehicles on the front lines.”  

BAE Systems first won the AMPV contract in 2014 before moving up to a low-rate initial production contract in 2018. Since then, the vehicles have been tested numerous times by the Army. Production is being undertaken in South Carolina, Alabama, Arizona, Michigan and Pennsylvania.

In addition to the $797 million contract announced earlier this month, additional options exist that could push the total contract amount to $1.6 billion.