Germany OKs A400M Airlifter Upgrade; €6.5B HERKULES IT Services Expansion Project

The Budget Committee of the German Bundestag recently approved multiple projects totaling billions of euros, including the modernization of Airbus A400M transport aircraft and a €6.5 billion expansion of the HERKULES follow-up project to enhance IT services in the Bundeswehr until at least 2030.

This decision includes a framework agreement for the production of 4,000 swap bodies, with an initial order of 1,750 at a cost of approximately €42 million from the Bundeswehr special fund. The swap bodies, designed for various Bundeswehr vehicles, will enhance logistics capabilities by transporting general cargo and specific radio cabins. Deliveries are expected from 2025 to 2027.

Additionally, the committee sanctioned two framework agreements for up to 9,700 trailers, including 600 all-terrain two-wheel trailers and 1,680 four-wheel trailers, with a contract value nearing €82 million. These trailers are set to be delivered between this year and 2031.

In a move to bolster naval aviation, the committee approved a contract for training Navy helicopter pilots on the NH90 Sea Lion and NH90 Sea Tiger helicopters. This comprehensive training program, valued at just under €170 million, covers everything from facility setup to advanced flight training, with financing from the Bundeswehr special fund.

The Sea Lion is the Navy's new multi-purpose helicopter, primarily used for search and rescue (SAR) missions and for transporting personnel and equipment. With the Sea Tiger, the Navy will acquire new helicopters for its frigates, which can be used primarily in the fight against submarines and ships. Both the Sea Tiger and Sea Lion are based on the naval variant of the NATO helicopter NH90, a multi-purpose helicopter jointly developed by France, Italy, the Netherlands, and Germany.

The A400M transport aircraft will also undergo a Block Upgrade 0, costing around €380 million. This upgrade, agreed upon by multiple nations, will address regulatory changes and improve aircraft performance. Germany will account for a share of almost €152 million, which will be financed through the Bundeswehr special fund and the regular defense budget. The A400M is a joint project involving Belgium, Luxembourg, Germany, France, Great Britain, Spain, and Turkey to develop and procure a total of 170 aircraft, with 53 planned for Germany. Delivery of the German transport aircraft began in 2014 and is scheduled to be completed by 2026.

Furthermore, the committee greenlighted the procurement of electronic warfare systems for F124 frigates and approved the purchase of 6,000 explosion-proof GPS receivers at a cost of €43 million, with deliveries planned for 2025 and 2026.

The HERKULES follow-up project will receive a €6.5 billion expansion to enhance IT services in the Bundeswehr, ensuring modernized communication and operational capabilities until at least 2030. The committee approved this 12th amendment contract with BWIGmbH, which will be financed through the regular defense budget, extending services until December 31, 2030. New services will include IT-supported collaboration (Groupware Bw) and artificial intelligence. The HERKULES project, initiated in 2006, aims to modernize the Bundeswehr's non-military IT equipment and will continue to develop and operate information and communication technology for the Bundeswehr.