In a recent announcement on July 17, AM General, the new provider of the Joint Light Tactical Vehicle (JLTV), has selected Plasan North America as the major components supplier for the armored cab, sealing a substantial $300 million deal. AM General secured the JLTV contract, valued at $8.66 billion, winning over JLTV-maker Oshkosh Defense in the U.S. Army’s competition earlier in February. Despite Oshkosh’s protest to the Government Accountability Office, the watchdog upheld the decision in June, paving the way for AM General to initiate production lines and collaborate with subcontractors. Under the terms of the contract, AM General will supply 20,682 JLTVs and 9,833 trailers to the U.S. military and foreign customers over the course of five base years, with an option for five additional one-year ordering periods.
Plasan’s U.S. division had previously been providing smaller subcomponents for the cab to Oshkosh during their contract to build the initial JLTVs. With about 85 employees currently, the company aims to hire an additional 170 workers in the next 18 months, predominantly in direct labor roles. Plasan North America made strategic investments in recent years, including building a factory floor well in advance, in anticipation of securing a significant order that would allow the company to establish a stronger presence in the United States. This foresight eliminated the need for extensive physical expansion at their headquarters in Walker, Michigan, as they already possess 200,000 square feet of manufacturing space, with a portion previously underused.
Plasan has been actively investing in research and development projects, with a major focus on their All-Terrain Electric Mission Module (ATeMM). This technology acts as a versatile power solution, functioning like a trailer but providing power to the vehicle towing it, effectively turning it into a hybrid vehicle. The AM General deal is seen as a positive development for the ATeMM program, enabling Plasan to continue its efforts in demonstrating the capability and potentially leading to it becoming a program of record in the future. Subsequently, throughout 2024, Plasan will accelerate component production, ensuring they can meet full-rate production quantity requirements by the beginning of 2025. The JLTVs will be manufactured at AM General’s military production facility at the 96-acre Mishawaka Manufacturing Campus in Indiana, with deliveries expected to commence 17 months after the contract award date.
The U.S. Army Contracting Command Detroit Arsenal today awarded leading global military mobility solutions provider, AM General, a 5-year contract to manufacture an estimated 20,000 Joint Light Tactical Vehicles (JLTV) along with approximately 10,000 trailers and includes implementation of technology enhancements for delivery to the US Armed Forces. The company’s core capability of Light Tactical Vehicle (LTV) development and production, coupled with their R.I.D.E (Responsive, Integrity, Dynamic, Excellence) values and culture, ensure that the end user is well equipped and supported on the battlefield. Further, AM General combines unmatched LTV program experience with proven transformative commercial manufacturing initiatives, like their Smart Factory, Automated Guided Vehicle System (AGV), Radio Frequency Identification/Global Positioning System (RFID/GPS) traceability, and rigorous International Automotive Task Force (IATF) 16949 certified Quality Management System (QMS) standards.