Canada Orders More Than 1,500 New Logistics Vehicles Worth $1.5B

The Government of Canada has awarded a contract to General Dynamics Land Systems and joint venture partner Marshall Canada, aiming to enhance the operational capabilities of the Canadian Armed Forces (CAF) with a new fleet of light and heavy logistics vehicles.

Under the Logistics Vehicle Modernization (LVM) project, the companies will oversee the delivery of more than 1,000 light trucks and approximately 500 heavy trucks. These vehicles will come equipped with essential accessories such as armoured protection kits, modules, containers, and trailers.

The LVM project is structured as two distinct contracts: one for vehicle acquisition, valued at $1.5 billion (including taxes), and another for in-service support, with a value of up to $1.08 billion (including taxes) spanning over 25 years.

General Dynamics Land Systems will spearhead integration and support services for the duration of the LVM project. Joining forces with them are four other companies: Marshall Canada, Mercedes‐Benz (Daimler Trucks), Soframe, and Manac Inc.

The collaborative effort aims to provide the CAF with a reliable, durable, and rugged fleet of vehicles, tailored to withstand adverse climate and operational conditions. At the core of the solution is the Mercedes Zetros truck known for its versatility and power. With a common chassis shared across all variants of the CAF’s new logistics fleet, the Mercedes Zetros streamlines logistics and maintenance operations, resulting in cost savings for Canada and increased training efficiencies.

The contract award represents a significant step forward in enhancing the logistical capabilities of the Canadian Armed Forces, ensuring they are equipped to meet the demands of modern military operations.