BAE Systems Hägglunds embarks on major expansion in Örnsköldsvik

By Defence Industry Europe

BAE Systems Hägglunds, a leading defence contractor, has announced a substantial expansion in Örnsköldsvik, Sweden. This development is part of a broader strategy to enhance its production capabilities and meet the increasing demand for advanced military vehicles.

 

The expansion involves a multi-billion SEK investment spread across several projects.

A 600 million SEK investment is allocated to the Nordanås test area. This facility will undergo significant upgrades to support advanced testing protocols, ensuring that Hägglunds’ products meet the highest standards of performance and reliability.

 

 

The centerpiece of this expansion is the 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 significantly enhance Hägglunds’ production capacity. The facility is expected to be operational within two years, creating new jobs and fostering economic growth in the region.

An additional 1.4 billion SEK is earmarked for advanced machinery and equipment. This investment is crucial for the production of the Stridsfordon 90 (CV90) combat vehicle, a key product in Hägglunds’ portfolio known for its versatility and combat effectiveness.

The decision to expand in Örnsköldsvik is driven by a robust order book and the need to scale operations to meet growing international demand. The Stridsfordon 90, in particular, has seen increased interest from several countries, necessitating an increase in production capacity.

 

 

The expansion is expected to have a significant positive impact on the local economy. The new facilities will create numerous job opportunities, ranging from engineering and technical roles to administrative and support positions. Additionally, the influx of investment is likely to stimulate growth in local businesses and services, further enhancing the economic landscape of Örnsköldsvik.

Looking ahead, BAE Systems Hägglunds plans to continue investing in advanced technologies and infrastructure to stay ahead in the competitive defence market. The company is also exploring potential collaborations with local and international partners to leverage new opportunities and drive innovation.

 

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