Oshkosh wins $30 billion contract to build new truck to replace Humvee
The U.S. Army has awarded Oshkosh Corp. a contract that could be worth up to $30 billion, and years worth of work, to build new armored trucks, according to the office of U.S. Rep. Glenn Grothman.
The Army plans to buy 50,000 of the vehicles, at a cost of $250,000 each, while the Marine Corps would purchase 5,500. Defense industry analysts say it’s the largest contract for military vehicles in the foreseeable future, and the competition has been intense.
Vehicle production won’t start until early next year, and will be ramped up in phases, but the contract will provide a huge boost for the company’s operations in Oshkosh — that employ several thousand people — and for the company’s many Wisconsin suppliers.
Analysts said Oshkosh was the top contender to win the contract, given its record in producing thousands of armored vehicles for U.S. troops in Afghanistan and Iraq. The company topped defense contractors Lockheed Martin Corp. and AM General LLC in the bidding and vehicle evaluation process that included hundreds of thousands of miles of testing.