Germany’s Military Procurement Arm Signs Deals to Strengthen Military Power

Germany’s military procurement arm, BAAINBw, has recently signed two major deals to strengthen its military power. These deals include the acquisition of self-propelled howitzers and off-road vehicles for its military. In addition, Germany has also increased its military aid spending to Ukraine by several orders of magnitude. Let’s dive into the details of these agreements.

Germany Acquires Self-Propelled Howitzers and Off-Road Vehicles

Under the procurement deal valued at €184 million, Germany will acquire 10 PzH2000 self-propelled howitzers from KMW to replace those previously gifted to Ukraine. The deal also includes an option for 18 additional units.

The PzH2000 is the German army’s main artillery asset, providing indirect fire support during operations with firepower based on integration of a 155mm gun. The first shipment of four howitzers is expected to be delivered in 2025, with the rest delivered in 2026.

The acquisition will be financed under Section 60 of the federal budget through the “upgrading initiative” funds held by the German Ministry of Defense. Furthermore, Germany will be purchasing 227 BAE Systems Hägglunds BvS10 off-road vehicles under the trilateral Collaborative All-Terrain Vehicle (CATV) program worth €919 million. This program aims to procure vehicles capable of operating in extreme weather conditions and in different configurations.

The unarmored version of the BvS10, designated Beowulf, recently won the US Army’s Cold Weather All-Terrain Vehicle program in August 2022 with BAE securing a production contract worth $278 million to deliver 110 vehicles over a five-year period.

US Imposes Sanctions on Slovakian Man for Broker Role in Russia’s Purchase of Arms and Munitions from North Korea

In other news, the United States has imposed sanctions against Ashot Mkrtychev, a Slovakian man, for acting as a broker between North Korea and Russia to ship weapons and munitions to Russia between late 2022 and early 2023. In exchange, North Korea was to obtain cash, commercial aircraft, commodities, and raw materials.

While the US Treasury Department did not mention whether any deals were completed, the specific weapons involved were not disclosed. The sanctions include freezing any assets Mkrtychev holds within the jurisdiction of the United States and bans Americans and U.S. businesses, including banks, from having any dealings with him.

The US sanctions come as Washington steps up sanctions targeting Russia’s attempts to obtain military equipment to replenish stocks that have been depleted by the war in Ukraine. US Treasury Secretary Janet Yellen notes that such schemes pursued by Mkrtychev “show that Putin is turning to suppliers of last resort like Iran and North Korea.”

Germany Increases Military Aid Spending to Ukraine

Finally, Germany has also increased its military aid spending to Ukraine by several orders of magnitude. The Finance Ministry of Germany has requested more money for military aid to Ukraine in a four-page letter obtained by Spiegel.

Current military aid spending is at three billion euros, but this amount will be increased to over 15 billion euros in the coming years. The German government wants to dramatically expand military aid to Ukraine in terms of arms deliveries and rebuild their current systems from Bundeswehr stocks.

Numerous procurement contracts must be concluded without delay in establishing payment obligations for future budget years. Already Germany delivered 18 Leopard 2A6 tanks and transferred three Leopard 1 tank-based engineering vehicles to Ukraine. And now German Marder IFVs are on their way to Ukraine.

Furthermore, German arms manufacturer Rheinmetall plans to build a tank factory in Ukraine, which will serve as a crucial step towards boosting Ukraine’s military capabilities.

In conclusion, these recent developments highlight Germany’s efforts to strengthen its military power while also supporting Ukraine in its war against Russia. These deals and increased military aid spending are part of a concerted effort to maintain peace and stability in the region.

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