Spain Awards $2B Worth Contracts to General Dyamics, Partners for Dragón Combat Vehicles

The Spanish Ministry of Defense today awarded a €1.74 billion (USD $2.06 billion) contract to a joint venture of General Dynamics European Land Systems-Santa Bárbara Sistemas (GDELS-SBS) and three other companies to deliver 348 8x8 Wheeled Combat Vehicles (VCR), their maintenance and life cycle support, as well as support their international commercialization.

The GDELS-SBS contract is for €733 million (USD $870 million). The program is expected to grow to a total of approximately 1,000 vehicles.

The vehicle, named “Dragón” by the Spanish Army, is based on the GDELS 8x8 PIRANHA 5’s combat wheeled vehicle and includes all Spanish national technologies as required by the Spanish MoD. It is expected to be delivered over a seven-year period.

In December 2019, Spain’s acting Minister of Defense, Margarita Robles, announced that the Government will re-compete the contract to produce 348 VCRs, after having rejected the offer submitted by Santa Bárbara, considered “unacceptable" for various technical, operational and economic reasons.

The GDELS-SBS joint venture (JV) will manufacture the 8x8 VCR at GDELS sites in Trubia and Seville, Spain, with the collaboration of the other Spanish JV members. The JV members include GDELS-Santa Bárbara Sistemas, Indra Sistemas, Sapa Placencia, and Escribano Mechanical & Engineering. The Spanish Ministry of Defense mandated a National Industrial plan in which Spanish industry participation must be no less than 70% of the total program. The JV was established to ensure that all operational objectives and needs of the Spanish Army and the Spanish Ministry of Defense are fully met and to fulfill the requirements of the government’s industrial plan.

GDELS-Santa Bárbara Sistemas program participation will involve approximately 650 direct and 1,100 indirect employees.

PIRANHA 5

The PIRANHA 5 is one of the most advanced and capable 8x8 wheeled armored vehicles and the top end of the PIRANHA vehicle family. The vehicle has a flexible and spacious crew compartment and significant payload capacity. For mobility and maneuverability, the PIRANHA 5 has all-wheel drive, hydro-pneumatic suspension, and 4th axle steering.