
Leonardo and KNDS, under the Italian Ministry of Defense’s guidance, have forged a strategic alliance to strengthen Europe’s defense capabilities and develop the next generation of armored vehicles. This partnership, focusing on land-based electronics and the Main Ground Combat System (MGCS), aims to bolster national defense industries, support Italy’s defense strategy, and create export opportunities.
In addition, Leonardo and KNDS will jointly develop, manufacture, and maintain Leopard 2A8 tanks for the Italian army, establishing new production and development facilities in Italy. The agreement could produce 300 Leopard 2A8 MBTs and related variants, such as recovery vehicles based on the same chassis. This strengthens the nation’s defense industry and paves the way for future European and export projects.
Russia’s ongoing war in Ukraine has prompted a renewed focus in Europe on land systems, given the war’s heavy involvement of MBTs, armored personnel carriers, infantry fighting vehicles, and artillery systems.
Main Ground Combat System
In May 2020, the joint Franco-German Main Ground Combat System program got underway with the release of an initial architectural study. The MGCS, informally called the Eurotank, is a project by France and Germany to replace their currently deployed Leclerc and Leopard 2 main battle tanks. In December 2019, KMW, Nexter Systems, and Rheinmetall AG formed a working group, or ARGE, to pursue the effort.
The program is divided into five phases, with the first phase involving operational needs analysis, and the second covering a concept survey. Both of the first two phases are now completed. The program enters the third phase – development and technological capability demonstration – under German oversight. It will then progress to the fourth phase, involving integration and systems demonstration, before advancing to mass system production in the final phase.
The schedule calls for a technology demonstration phase that will last until 2024, followed by a systems demonstrator phase from 2024-2027 and the implementation phase, which will commence in 2028. The new tank is scheduled to enter service in 2035, with Initial Operational Capability (IOC) expected in 2040.
A military history enthusiast, Richard began his career at Forecast International as editor of the World Weapons Weekly newsletter. As the Internet became central to defense research, he helped design the company’s Forecast Intelligence Center and now coordinates the FI Market Recap newsletters for clients. He also manages two blogs: Defense & Security Monitor, which covers defense systems and international security issues, and Flight Plan, focused on commercial aviation and space systems.
For more than 30 years, Richard has authored Defense & Aerospace Companies, Volume I (North America) and Volume II (International), providing detailed data on major aerospace and defense contractors. He also edits the International Contractors service, a database tracking all companies involved in programs covered by the FI library. Richard currently serves as Manager of the Information Services Group (ISG), which develops outbound content for both Forecast International and Military Periscope.
