U.S. Army Places $1.7 Billion Order for Over 6,000 JLTVs

The U.S. Army has awarded Oshkosh Defense a $1.7 billion contract for 6,107 Joint Light Tactical Vehicles and 22,166 equipment kits.  This is the tenth order placed under the original JLTV contract awarded to Oshkosh in August 2015.  The vehicles included in this contract option will be produced through September 30, 2019.

The program is funded primarily through the Army’s “Other Procurement” account, which covers everything from tactical vehicles to electronics and other miscellaneous equipment.  The service is utilizing funding from FY17, FY18, and FY19 for this order, as well as FY18 research and development funding.

Oshkosh has delivered more than 2,600 vehicles so far.  A full-rate production decision is expected in December 2018, and initial operational capability for the Army is slated for late FY19.

The Army currently plans to buy 49,100 JLTVs, but the number could increase.  The JLTV is only replacing a portion of the Army’s HMMWV fleet, and the service is weighing options for either launching a HMMWV upgrade program or buying additional JLTVs.  The Army began funding JLTV procurement in FY15 with 176 vehicles.  The FY19 request included funding for 3,390 vehicles, which is 509 more than previously planned.  The service estimates it will procure nearly 15,000 vehicles between FY19 and FY23.

The Army has also identified the JLTV as an interim solution for its Light Reconnaissance Vehicle, which could result in some vehicles being equipped with additional weapons or sensors.

The Marine Corps is also buying JLTVs, but not nearly as many as the Army.  The service originally wanted to buy around 5,500 JLTVs, but plans to increase its acquisition objective to 9,091 vehicles. The FY19 budget shows procurement of 7,613 vehicles through FY23, including 1,642 vehicles in FY19.  The first seven Marine Corps JLTVs were funded in FY15.  IOC for the Marines is expected in the first quarter of FY20.

The Air Force has also jumped into the JLTV program, and started buying trucks in FY17. The service operates some 3,270 HMMWVs that are in need of replacement.

The JLTV comes in a two-door utility version and a four-door general-purpose version.  The latter can also be configured as a Heavy Gun Carrier for crew-served weapons and a Close Combat Weapons Carrier variant that can be fitted with a TOW missile launcher.

About Shaun McDougall

As editor of International Military Markets, North America, Shaun has cultivated a deep understanding of the vast defense markets in the United States and Canada. Shaun's perspective on defense procurement and budget issues has been cited in a variety of defense periodicals, including Defense News and National Defense Magazine. Further, Shaun played an integral role in the development of Forecast International's U.S. Defense Budget Forecast product, which offers an unprecedented level of insight into the Pentagon's acquisition budget. In addition to providing original analytical content for the U.S. Defense Budget Forecast, Shaun oversees an internal defense budget forecasting process involving Forecast International's team of skilled systems analysts following release of the DoD's annual budget request. Shaun is also in charge of managing Forecast International's Weapons Inventory database.

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