Oshkosh in court fighting over $8.66bn contract to produce JLTV armoured vehicles to replace HMMWVs

Oshkosh, as expected, has begun to sue the Pentagon after the light armoured vehicle contract was awarded to AM General. A decision will be made very soon.

Here's What We Know

The vehicles are being developed under the Joint Light Tactical Vehicle (JLTV) programme to replace the HMMWV combat vehicles. The value of the contract is $8.66 billion.

The agreement calls for production of 20,682 armored vehicles and 9,883 trailers. The contract is for 10 years. Oshkosh does not want to lose this opportunity and has filed a complaint with the U.S. Court of Auditors, as it believes that the Pentagon improperly considered the financial and technical options for choosing the solution with the lowest cost and shortest delivery time.

Joint Program Office (JPO) executives said AM General offered a better option in terms of price. The office, however, refused to disclose details of the offer until Oshkosh's complaint has been addressed.

AM General has to build a new production line to produce the JLTV. It is logical to assume that work will not begin until the final decision of the Audit Chamber, which will be made no later than 14 June 2023.

To date, Oshkosh has built nearly 19,000 JLTV armoured vehicles for the US Army, Marine Corps, Air Force and Navy. The company also supplies JLTVs to Montenegro, Brazil, Slovenia and Lithuania. According to an Oshkosh spokesperson, the manufacturer has a contract to build more than 22,679 vehicles and expects additional orders by the end of the fall.

Source: Defense News