BAE Systems Hägglunds Announces Major Expansion to Boost Production in Örnsköldsvik, Sweden

BAE Systems Hägglunds has unveiled plans for a substantial expansion in Örnsköldsvik, Sweden. This initiative aims to enhance the company’s production capabilities to meet the surging demand for advanced military vehicles. The expansion represents a multi-billion SEK investment across several significant projects. A 600 million SEK upgrade is set for the Nordanås test area, which will undergo extensive enhancements to support advanced testing protocols. These upgrades will ensure that Hägglunds’ products adhere to the highest standards of performance and reliability.The highlight of this expansion is a new 11,000 square meter facility in Gullänget. With an investment of 1.1 billion SEK, this state-of-the-art factory and office complex will substantially increase Hägglunds’ production capacity. Scheduled to be operational within two years, this facility will generate new jobs and stimulate economic growth in the region.

Additionally, 1.4 billion SEK will be invested in advanced machinery and equipment, crucial for the production of the Stridsfordon 90 (CV90) combat vehicle. Known for its versatility and combat effectiveness, the CV90 is a cornerstone of Hägglunds’ product line and has attracted significant international interest. The decision to expand in Örnsköldsvik is driven by a robust order book and the necessity to scale operations to meet growing global demand. The expansion is poised to have a considerable positive impact on the local economy, creating numerous job opportunities ranging from engineering and technical roles to administrative and support positions. The influx of investment is also expected to boost local businesses and services, further enhancing Örnsköldsvik’s economic landscape. BAE Systems Hägglunds intends to continue investing in advanced technologies and infrastructure to maintain its competitive edge in the defense market.

The Combat Vehicle 90 (CV90) (Swedish: stridsfordon 90?, strf 90) is a family of Swedish tracked armoured combat vehicles designed by the Swedish Defence Materiel Administration (FMV), Hägglund & Söner and Bofors during the mid-1980s to early 1990s, before entering service in Sweden in the mid-1990s. The CV90 platform design has continuously evolved from the Mk 0 to the current Mk IV with technological advances and changing battlefield requirements. The Swedish version of the main infantry fighting vehicle (IFV) is fitted with a turret from Bofors equipped with a 40 mm Bofors autocannon. Developed specifically for the Nordic subarctic climate, the vehicle has very good mobility in snow and wetlands while carrying and supporting eight, and in later versions six, fully equipped soldiers. Other variants include forward artillery observation, command and control, anti-aircraft, armoured recovery vehicle, electronic warfare versions and so forth.

BAE Systems AB is subsidiary holding company for the Swedish assets of BAE Systems Land & Armaments, whose ultimate parent is the British defence contractor BAE Systems. BAE Systems is a global defence and security company with approximately 90,000 employees worldwide. The Company delivers a full range of products and services for air, land and naval forces, as well as advanced electronics, security, information technology solutions and support services. BAE Systems Hägglunds focuses on the design, manufacturing, integration and support of a wide range of military vehicles to customers worldwide, as well as hybrid electric drive systems for the civilian market. In Örnsköldsvik, Sweden, there are currently close to 1,600 employees, almost half of whom work in research and development. The company work closely with local partners to deliver products and services with military capabilities that protect people and national security, such as combat vehicles (CV90), tracked vehicles (BvS10 and Beowulf).