Economy Ministry and Romarm, through the Bucharest Mechanical Plant and the US company General Dynamic have signed on Tuesday a memorandum of understanding (MoU) and a collaboration agreement, with Prime Minister Mihai Tudose attending the ceremony.
General Dynamics owns the Mowag plant, namely the Swiss company which produces armoured vehicles.
According to a release of the Gov’t, by signing the documents, the two parties commit to collaborate, in accordance with the objectives they took on regarding the endowment of Romania’s Army, in the prospect of producing and delivering Piranha V Infantry Fighting Vehicle (IFV) for the National Defence Ministry (MApN).
The memorandum establishes the preliminary direction lines of the cooperation and future actions, aimed at building a joint venture between the Bucharest Mechanical Plant and General Dynamic, that will produce armoured vehicles for Romania’s Army, the quoted source explains.
In the future venture, the Bucharest Mechanical Plant will participate with assets representing manufacturing lines and hired personnel, who will undergo training courses at the US company headquarters. General Dynamics will participate in this joint venture with investments in upgrading production capabilities and integrating the production of armored vehicles, the Government release mentions.
“The conclusion of this collaboration between a state company of Romania and US company General Dynamics is an extraordinary moment for the Romanian defence industry,” PM Mihai Tudose stated.
The ceremony was also attended by Deputy PM Marcel Ciolacu, Economy Minister Gheorghe Simon, Defence Minister Mihai Fifor and US Ambassador to Romania Hans Klemm.
MApN hails Memorandum between Ministry of Economy, General Dynamics to produce Piranha V armoured vehicles
The Ministry of National Defense (MApN) welcomes the signing of the Memorandum of Understanding and the Cooperation Agreement between the Ministry of Economy and Romarm, through the Bucharest Mechanical Plant, and American company General Dynamics, which owns the Swiss manufacturer of Mowag armoured vehicles.
“Alongside Prime Minister Mihai Tudose, Deputy Prime Minister Ion Marcel Ciolacu and Economy Minister Gheorghe Simon, Minister of National Defense Mihai Fifor participated in the signing ceremony of the two documents, through which the two parties pledge to collaborate, in accordance with the objectives assumed regarding the endowment of the Romanian Armed Forces, in view of the production and delivery of Piranha V armored vehicles to the Ministry of National Defense,” a press release of the ministry on Tuesday informs.
According to the quoted source, the revival of national capabilities in the defense industry will ensure the security of producing high-tech equipment or components for the Romanian Army, the maintenance and upgrading of military equipment throughout its life cycle, and also a long-term development of the relevant industry.