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Iveco Wins €2.5 billion Brazilian Armored Vehicle Contract

The Brazilian Army has signed a contract worth about €2.5 billion with IVECO Defence Vehicles for the supply of armored personnel carriers of the VBTP-MR model. The vehicles will replace the old models Urutu used today by the Brazilian armed forces. The contract covers the delivery of 2,044 vehicles and logistical support for a period of 20 years. Deliveries are expected to commence in 2012, and continue over 18 years. Iveco has won the Brazilian bid selection in 2007 and have since worked with the customer on the development of the vehicle.



Iveco will produce the vehicles and their engines in Brazil. Iveco Latin America will support the operation through the establishment of a dedicated defense unit "Iveco Defence Vehicles do Brazil" to be responsible for research, sales & marketing, production, quality and aftersales. The program will also rely on a local supply chain to involve more than 100 suppliers and hundreds of subcontractors. According to Pietro Borgo, General Manager of Iveco Defence Vehicles, the project will contribute to the development of a highly specialized knowledge base in military vehicles at IVECO LA, and strengthening IVECO Defence Vehicles presence in country with a business unit dedicated to the Brazilian Army. 

The VBTO-MR will establish a family of vehicle including personnel carrier capable of carrying 11 soldiers, reconnaissance, recovery, ambulance vehicles. The basic platform has a Gross Vehicle Weight of 18 tons. It is powered by an Iveco diesel engine and uses 6x6 drive. A full-scale mock-up of the VBTP-MR was exhibited at the Latin America Aero & Defence (LAAD).

The vehicle has full amphibious capability; it can be equipped with a turret or remote control weapon station. Overall dimensions are 6.91 m' long, 2.7 m' wide and 2.34 m' high, enabling the vehicle to transported by an aircraft of type C-130 Hercules and future Brazilian C-390 military transporter.

The VBTP-MR project is part of the National Defense Strategy which includes the reorganization and modernization of the Brazilian defense forces. Iveco developed the vehicle in Brazil, with close cooperation with the Brazilian Army 'Mobility Strategy' project and the Brazilian Department of Science and Technology, which already invested €12 million in R&D and industrialization, encouraging specialist Brazilian companies to join the program. The first prototype is already under construction in Brazil and will be ready in the first half of 2010. Another 16 units of a pilot batch will be produced by Iveco in Brazil between 2010 and 2011.