Czech defence ministry details domestic industry involvement in the CV90 programme

The Ministry outlined that five core Czech suppliers—VOP CZ, Excalibur Army, VR Group, Ray Service, and Meopta—will play leading roles, from producing vital vehicle components to integrating advanced communications and tactical systems. Beyond these main contributors, additional Czech companies, such as Pramacom-HT and OPTOKON, will supply specialised technology like communications systems and electronic warfare solutions. This extensive domestic involvement is seen as a critical step towards ensuring the availability of support and maintenance within Czech borders, particularly in times of crisis.

A dedicated team within the Ministry will oversee compliance with the industrial cooperation programme, closely evaluating each transaction to ensure it meets predetermined criteria for contributing genuine added value. This oversight ensures that the programme not only supports domestic manufacturing but also fosters meaningful knowledge transfer to Czech firms. Through this partnership, the Ministry aims to develop local technical expertise and production capabilities, enhancing the Czech Republic’s strategic independence in defence.

The Ministry also revealed that over 30 Czech companies are expected to contribute to the project, reflecting the nation’s robust industrial capacity. The involvement of these firms will be instrumental in providing maintenance services and ensuring quick access to resources for vehicle support on Czech soil. BAE Systems plans to expand its partnership with Czech companies for future international projects, which could position the Czech Republic as a key player in BAE’s global supply chain.

BAE Systems, as the main contractor, has secured contracts with both state-owned and private Czech companies, following criteria set by the Ministry to ensure equitable opportunities across sectors. The Ministry’s oversight will prevent speculative or tax-driven transactions, focusing solely on contributions that add substantial value to the CV90 project.

Among the participating firms, VOP CZ holds a critical role as the integrator of the vehicle, assembling and testing the CV90 units. As a state-owned enterprise, VOP CZ’s involvement offers a layer of security in national defence procurement, prioritising state requirements over external commercial interests. According to the Ministry, this integration of domestic capabilities aligns with its long-term strategic goals for national security and resilience in supply chains during potential crises.

The Ministry further explained that recent negotiations led to an increase in the order from 210 to 246 vehicles, incorporating an additional 36 units into the original contract. While this adjustment has raised the total project cost to CZK 59.7 billion, the per-unit cost remains stable, even yielding slight savings due to economies of scale within the expanded contract. This decision was made to ensure the Ministry met operational requirements while maintaining budget efficiency.

BAE Systems will also support training programmes to prepare Czech crews and technicians, which will ensure operational proficiency with the new systems. Training will begin with BAE specialists before transferring to local Czech instructors, creating a sustainable, long-term training model that maximises local expertise. This training programme is an integral part of the Ministry’s plan to develop self-sufficiency in maintaining and operating the CV90 systems.

The Ministry selected a 30mm cannon for the CV90, a decision based on its compatibility with other Czech Army vehicles and alignment with NATO standards. While the 35mm cannon was considered, the Ministry opted for the 30mm due to its operational compatibility and logistical advantages, which streamline maintenance and support.

In response to inquiries about transparency, the Ministry clarified that while the contract includes confidential details under commercial secrecy, all terms comply with both Czech and EU legislation. Although some specifics remain confidential, the Ministry assures that the contract terms are structured to maximise domestic industrial involvement and prevent unnecessary intermediaries or speculative transactions.

Source: Ministry of Defence of the Czech Republic.