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Rheinmetall Clinches $2B Caracal Air Assault Vehicle Contract for Germany, Netherlands

Rheinmetall has received a 1.9-billion euro ($2 billion) contract to deliver up to 3,508 Caracal air assault vehicles for the German and Dutch armed forces.

Under the agreement, up to 2,054 systems will be supplied to Germany and 1,004 to the Netherlands.

An initial framework contract for 870 million euros ($959 million) has already been signed for 1,508 platforms as part of the project.

Work for the bilateral procurement will be facilitated in partnership with mobility developers Mercedes-Benz AG and Armoured Car Systems GmbH.

The first trial vehicles are scheduled for delivery in the first quarter of 2024, while shipping for the remaining units will commence in 2025.

Rheinmetall’s Caracal

The Caracal is a lightweight, 4×4 all-wheel-drive system built for airmobile formations and special operations forces.

It is based on the G-model 464 all-terrain commercial off-the-shelf chassis from Mercedes-Benz.

The vehicle can support logistics missions and be mounted with standard infantry weapons and anti-tank guided missiles.

Two Caracal platforms can fit into a CH-47F Chinook or CH-53 King Stallion helicopter during air transport.

Caracal air assault vehicle
Caracal air assault vehicle. Photo: Rheinmetall

New Air Assault Capability

According to Rheinmetall, the German and Dutch militaries are procuring air assault platforms to integrate new capabilities for national and alliance defense in response to the “tense security situation” in Europe.

The plan for the joint Caracal purchase was unveiled in October 2022, followed by two proposal phases with industry partners.

“Together with our partners Mercedes-Benz AG and Armoured Car Systems GmbH, we’re ready to roll and can advance quickly to full-scale, large-volume series production,” Rheinmetall Landsysteme Managing Director Dr. Björn Bernhard stated.

“Final assembly of all German and Dutch vehicles will take place at our plant in Ede in the Netherlands and at VDL Special Vehicles B.V. in Eindhoven, our designated partner company.”

“Having two assembly locations will let us quickly scale up production while simultaneously contributing to sustained value added in the Netherlands, our partner country.”

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