HUMVEE Production to Continue for Afghan Sales

by: Matthew Potter
August 17, 2010

Category: Business Line, Companies, Contract Awards, Department of Defense, development program, Events, General Dynamics, logistics, production program, Services, U.S. Army | RSS 2.0

Last year the U.S. Army announced that it was not planning on buying any more of the ubiquitous jeep replacing HUMVEE after the 2010 order. This was because they had met their Acquisition Objective early helped by the improving situation in Iraq which saw less of the vehicles damaged or destroyed. Other parts of the U.S. military would still require some of the systems but the Army was the largest buyer and things looked bleak for AM General the producer of the system.

This week, though, it was announced that the U.S. would buy at least 2,500 of the vehicles for use by the Afghanistan government. This while not similar numbers to what the Army was buying it will keep the plant going for another year.

AM General is participating as a partner with General Dynamics Land Systems (GD) as one of the three teams awarded Joint Light Tactical Vehicle (JLTV) development contracts. The JLTV will be the replacement for the HUMVEE when it goes into production. This means AM General has a good chance to stay in the business of building vehicles for the U.S. military and its allies.

Photo from Nevada Tumbleweed’s flickr photostream.

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