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Volvo Group’s Mack Defense unit to supply 1,500 re-badged Renault Kerax 8x8 trucks to Canadian Armed Forces

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Trailer/Body Builders / July 16, 2015

Mack Defense has been awarded two contracts by the Department of Public Works and Government Services Canada on behalf of the Department of National Defense to deliver more than 1,500 [re-badged Renault Kerax] 8x8 trucks for the Medium Support Vehicle System (MSVS) Standard Military Pattern (SMP) program and to provide an initial five years of In-Service Support (ISS) for the SMP fleet operating in Canada and throughout the world.

Mack Defense (www.mackdefense.com) will also provide 300 trailers and 150 Armor Protection Systems as part of the two contracts valued at $561 million. Deliveries will begin in the summer of 2017 with completion in the fall of 2018.

“We are extremely proud that the Canadian government has chosen Mack Defense to provide the Canadian Armed Forces with our MSVS SMP solution,” said Ryan Werling, president of Mack Defense. “Mack has supplied the Canadian Armed Forces with trucks since World War II and we are honored to continue to support Canada’s domestic and international missions for years to come.”

The vehicle systems will include multiple variants such as cargo, material handling cranes, load handling systems (LHS), and mobile repair trucks (MRT). Mack Defense will work with key strategic Canadian partners including Volvo Group sister company Prevost; Dumur Industries Ltd; EODC, Inc.; and Link Suspensions of Canada (Raydan Division).

System assembly will take place in Prevost’s Sainte-Claire, Quebec, plant. The Volvo Group’s global supply chain, with a strong presence across Canada and in 42 other countries worldwide, serves as the foundation of the In-Service Support program.

Related Reading - http://www.renault-trucks-defense.eu/Defense/KERAX/RIGID

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Mack Defense wins $560M Canadian military truck contract

The Morning Call / July 16, 2015

Mack Defense has won a pair of contracts to provide standard military pattern trucks and equipment to the Canadian Armed Forces, the company announced Thursday.

Mack said the contracts have a combined value of $725 million in Canadian dollars, which translates to about $560 million in U.S. dollars, according to the Bank of Canada's daily currency converter.

The contracts, awarded by the Department of Public Works and Government Services Canada on behalf of the Department of National Defense, call for Mack to deliver more than 1,500 [re-badged Renault Kerax] 8x8 trucks, 300 trailers and 150 armor protection systems for the vehicles. Mack will provide an initial five years of in-service support for the truck fleet.

Deliveries will begin in summer 2017 with completion slated for fall 2018.

For the contracts, Mack Defense will work with its Canadian partners including Volvo Group sister company Prevost; Dumur Industries Ltd.; EODC Inc.; and Link Suspensions of Canada (Raydan Division).

System assembly will take place in Prevost's plant in Sainte-Claire, Quebec. Canada's Industrial and Regional Benefits Policy requires companies that win defense and security contracts with the Canadian government place business activities in Canada at the same value of the contract.

"Mack has supplied the Canadian Armed Forces with trucks since World War II and we are honored to continue to support Canada's domestic and international missions for years to come," Ryan Werling, president and CEO of Mack Defense, said in a statement.

While none of the assembly will be done at Mack's Lower Macungie Township plant, where 1,950 employees work, that facility will see work through another Mack Defense contract win announced earlier this month. That deal, from the General Services Administration, calls for Mack Granite model chassis, which will be modified with wrecker and carrier bodies from a separate agency.

Mack Defense LLC, created in 2012, is a wholly owned subsidiary of Mack Trucks Inc. Mack Trucks is part of the Sweden-based Volvo Group.

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Buying Oshkosh’s HEMTT A4 8x4 would have been a wise decision, proven vehicles that would have allowed interoperability with U.S. armed forces, Canada’s key ally.

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Oshkosh Defense Canada Delivers MSVS SMP Bid with Next-Generation Capabilities for Canadian Armed Forces

Oshkosh Press Release / January 8, 2014

The Canadian Government is taking important steps in modernizing its logistics vehicle fleet by advancing the Standard Military Pattern (SMP) component of the Medium Support Vehicle System (MSVS) project.

Oshkosh Defense Canada, Inc., a subsidiary of Oshkosh Corporation, responded to the Government of Canada’s MSVS SMP Request for Proposal (RFP), offering a high performance, low risk solution to meet the Canadian Department of National Defence’s (DND) mission requirements and protect Canadian Soldiers for decades to come.

“Working closely with our Canadian industry partners and a growing network of Canadian suppliers, our Oshkosh MSVS SMP offering provides superior vehicle performance, sustainment across six continents, and ultimately, the best overall value for Canada,” said John Urias, Oshkosh Corporation executive vice president and president of Oshkosh Defense.

“The Oshkosh MSVS SMP family of vehicles is the next generation of the world’s most trusted, battle-proven military platform in the field today. We are proud to present the Government of Canada with our MSVS SMP bid that meets or exceeds all project requirements, and most importantly, provides Canadian Soldiers with the modern logistics vehicles they need to perform their missions.”

The Best Value for Canada

Oshkosh, in collaboration with its Canadian team members and suppliers, will return 100 percent or more of the MSVS SMP contract value to the Canadian economy. Oshkosh’s strategic team members for the project include DEW Engineering and Development, General Dynamics Land Systems – Canada, and Link Suspensions of Canada – Raydan Division.

“Our MSVS SMP team aligns core Oshkosh design, production and sustainment strengths with Canada’s finest technology, manufacturing and services capabilities,” said John Lazar, senior director of Global Strategic Initiatives for Oshkosh Defense. “We are committed to supporting MSVS SMP and future Canadian vehicle modernization programs by working with companies across Canada and creating new economic value in the process.”

Exceptional Performance, Without the Risk

Oshkosh designed, extensively tested and built its MSVS SMP solution to bring the latest ground vehicle technologies to the Canadian Armed Forces. The Oshkosh MSVS SMP vehicles and trailers are built to serve a full range of logistics missions from disaster recovery at home to major conflicts abroad. Key vehicle subsystems, including a high-performance drive train, advanced suspension and braking systems, and a state-of-the-art armour protection system, allow the Oshkosh MSVS SMP to achieve a 70 percent off-road mission profile and a 98 percent mission reliability rate – both of which will enable Canada’s ground forces to more safely operate in a vast array of threat levels, climates and terrains.

The Oshkosh MSVS SMP builds upon decades of in-theatre experience around the globe and more than one billion real-world operational kilometres accumulated on the Oshkosh Heavy Expanded Mobility Tactical Truck (HEMTT) platform. The acclaimed HEMTT platform is a purpose-built military vehicle that has been chosen by the United States Department of Defense and more than 20 allies worldwide – consistently outperforming commercial vehicle derivatives in competitive scenarios.

Canada’s MSVS SMP RFP also includes five years of In-Service Support (ISS). With Canadian troops more frequently mobilized around the world for defence and humanitarian missions, complete life cycle sustainment is increasingly important to ensure mission readiness.

The Oshkosh team’s ISS offering leverages decades of performance based contracting and major repair/overhaul programs experience to minimize MSVS SMP life cycle costs while maximizing reliability and readiness rates.

“Our ISS plan is based on a robust global supply chain and a mature logistics system that spans six continents,” added Lazar. “By applying our logistics supportability analysis methodology to manage fleet health, Oshkosh has helped reduced military vehicle fleet life cycle costs as much as 70 percent.”

https://oshkoshdefense.com/news/oshkosh-defense-canada-delivers-msvs-smp-bid-next-generation-capabilities-canadian-armed-forces/

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The Renault Kerax is a superb civilian vocational chassis. However, it's not a ground-up military-oriented design. And obviously, Renault Truck does not have a sales and after-sales service network in North America.

If Canada wanted to throw its relationship with America to the curb and purchase European trucks, they should have accepted the Rheinmetall bid for the HX77 8x8. Over 50 countries operate the HX series including allies Australia, Denmark, Germany, New Zealand, Norway, Sweden and the UK.

Related reading - http://www.bigmacktrucks.com/index.php?/topic/32063-rheinmetall-man-military-vehicles-and-haulmark-trailers-win-158-billion-adf-contract/?hl=rheinmetall

http://www.rheinmetall-defence.com/en/rheinmetall_defence/systems_and_products/vehicle_systems/military_trucks/hx_10x10/index.php

FYI - One of the goals of Navistar forming a partnership with TATRA in 2010 was to win Canada's MSVS 8x8 contract.

http://www.navistardefense.com/NavistarDefense/vehicles/atx/atx_8

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IIRC, wasn't the Kerax originally a Sisu design?

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Basically a co Sisu / Renault design. In 1997 Sisu Auto signed an agreement of extensive co-operation with Renault. Sisu started using most Renault components and represented Renault in Finland. One of the most noticeable on the new Sisu trucks was the Renault cabs in 1998.

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The Canadian military has been buying all kinds of European cabovers with terrible results when it comes to reliability and parts availability. The last order of trucks went to Navistar with the condition that all trucks were built in the Chatam Ontario plant and to keep that production plant open. Navistar backed out of keeping the plant open as soon as the last truck was delivered. The Navistar trucks are broken down constantly (maxjunk).

The last order of Macks the Canadian Military took were 1985 R733 tractors with 350 Cummins 15speed fullers and Neway rears on Eatons.

Those tractors were in service till the early 2000's. The only thing they ever did to those trucks was switch the air starter out for electric start. I'm sure these Kerax's will be a different version of more Euro junk to keep our local dealers busier then they already are with warranty work they can't get parts for.

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IIRC, wasn't the Kerax originally a Sisu design?

The Renault Kerax's design has no connection to Sisu.

Sisu's connection with Renault was that it began sourcing Renault "Premium" cabs from Renault Trucks Component Partnerships in 1997, after discontinuing in-house cab production.

In 2011, Sisu began using Mercedes-Benz Actros cabs (they're now building what amounts to being a highly modified Actros).

Like the former UK truckmakers, Finland's Sisu used Cummins and Caterpillar engines for years. From 2011, Sisu uses Daimler engines.

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The Canadian military has very rarely ever ordered the same vehicles or products that the US has in inventory when it comes to vehicles. It has always seemed strange even to Canadian Armed Forces mechanics I know that have done tours in Iraq and Afghanistan that there is very little in the way of standardization between next door neighbors and there war zone fleets. Considering it would be nice to borrow a part or 2 between neighbors when some breaks down in the middle of a dessert. Canadian military fleet tender writers think they know better then their US counter parts. Meh.

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The Canadian military has very rarely ever ordered the same vehicles or products that the US has in inventory when it comes to vehicles. It has always seemed strange even to Canadian Armed Forces mechanics I know that have done tours in Iraq and Afghanistan that there is very little in the way of standardization between next door neighbors and there war zone fleets. Considering it would be nice to borrow a part or 2 between neighbors when some breaks down in the middle of a dessert. Canadian military fleet tender writers think they know better then their US counter parts. Meh.

The license-built Canadian variant of the American M-35 (MLVW) tactical 6x6 was arguably better though, with the 8.2-liter Detroit Diesel instead of the Continental LDT-465, and an Allison MT-643 automatic tranny.

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Taxpayers could be on hook for bill after trade ruling questions $834 million army truck contract

Ottawa Citizen  /  May 24, 2016

In a ruling that could cost taxpayers hundreds of millions of dollars, a federal trade tribunal has raised questions about the government’s handling of a military procurement project to buy desperately needed trucks for the army.

The ruling by the Canadian International Trade Tribunal represents the latest blow to Canada’s troubled military procurement system, which the Liberal government has vowed to fix without offering any details.

In July 2015, the Conservative government announced that Pennsylvania-based Mack Defense had won a contract valued at more than $834 million to provide the Canadian Army with 1,500 specialized [Renault] trucks.

The vehicles were intended to replace a large part of the army’s existing truck fleet, which had been purchased during the 1980s and ’90s. Many of those older trucks have been parked or sent to the scrap heap because of their age and to save money on maintenance and repairs.

But Wisconsin-based Oshkosh Defense, which submitted its own truck design to the competition, challenged the government’s decision to award the contract to Mack Defense.

Oshkosh alleged the department responsible for managing government purchases, Public Procurement Canada, had been unfair during design testing.

Late last week, the trade tribunal released a ruling calling on Public Works to re-evaluate Oshkosh’s design. If the results show the company should have won, the ruling says, then the government should compensate Oshkosh “for the profits it would have received had it been properly awarded the contract.”

If for some reason re-testing cannot be done, the government and Oshkosh are urged to negotiate compensation for the company’s “lost opportunity.” If they are unable to reach an agreement within 40 days, they are to go back to the tribunal.

Fortunately for the army, which is expecting the first new trucks to be delivered next year, the tribunal did not call on the government to push the reset button. “The Canadian International Trade Tribunal will not recommend that the contract awarded to Mack Defense LLC be cancelled,” the ruling reads.

Public Procurement Canada did not immediately respond to requests for comment.

Nonetheless, the ruling means taxpayers more than likely will have to foot the bill for the government’s error. It also reiterates the morass with which the entire military procurement system has been embroiled for years.

A large number of projects are facing delays, which has left the military lacking such vital equipment as resupply ships, or struggling to keep ancient equipment such as search-and-rescue planes in the air. Other projects are facing budget shortfalls that could result in fewer aircraft, ships and other pieces of equipment.

In addition, at a time of reduced military spending across the West, defence companies are fighting tooth and nail for every dollar. That includes resorting to legal challenges to try to scuttle the entire process in cases where their products lose.

The Liberal government has promised to fix the system, but has have offered few details on how that will happen. [Bombeli, India-born Sikh-Canadian] Defence Minister Harjit Sajjan has referred only to the government’s ongoing defence policy review, which isn’t expected to produce any results until next year.

Defence chief Gen. Jonathan Vance similarly dodged questions Tuesday about fixing the system, saying only that the government wants to be “innovative, both in process and in terms of where we put our efforts in the future.” He suggested that “bodes well for the country and for the armed forces.”

In the federal budget in March, the government announced it was pushing off $3.7 billion in planned equipment purchases for the foreseeable future. The government said such a “re-profiling” was necessary to ensure money was available when needed, but others such as retired general Rick Hillier said it was a budget cut.

 

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