A Step Closer to Exporting Boxer Vehicles to Germany

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Australia is a step closer in discussions for the supply more than a hundred Boxer combat reconnaissance vehicles which could be worth about AU$3 billion.

The Minister for Defence Industry, Pat Conroy, and his German counterpart, the Parliamentary State Secretary to the Federal Minister of Defence, Thomas Hitschler, have signed a Letter of Cooperation, to start formal negotiations.

Once finalised, more than 100 Boxer heavy weapon carrier vehicles would be produced for Germany by Rheinmetall, leveraging production capacity at its Military Vehicle Centre of Excellence in Brisbane. It was earlier reported that the deal involved a total of 123 vehicles.

This could be one of Australia’s largest ever defence export contracts, boosting its sovereign defence industry, securing local jobs and contributing to Australia’s economic growth.

The Department of Defence will now enter into formal negotiations with the German Ministry of Defence and Rheinmetall to establish appropriate legal and commercial arrangements, the minister said in a statement.

“We are excited about the prospect of Boxers for the German Army being built in Brisbane, using suppliers across Australia to assist in the production,” Minister Conroy said.

“This export opportunity would secure well paid secure jobs in Queensland and across the country, helping to build Australia’s defence industry and boost our economy.

“We are keen to export this world-leading capability to a trusted and respected security partner, and to further strengthen the defence relationship between our countries.”

A total of 211 vehicles are on order for the Australian Army, with deliveries expected until 2026, under the Land 400 Phase 2 programme. The first of 25 Boxers were formally handed over in September 2019. – adj/mhi/mgm (Pix; Australia DoD)