Rheinmetall secures $107.5 million U.S. Army contract for M1 Abrams track systems

The contract highlights the U.S. Army’s trust in American Rheinmetall to meet urgent supply demands and support ongoing modernisation efforts. The swift timing of the award reflects a pressing requirement to maintain operational readiness and sustain military capabilities.

The T-158 track system plays a crucial role in enabling the M1 Abrams tank’s mobility under demanding combat conditions. Designed with heavy-duty construction and replaceable track pads, the system is engineered for durability and high performance.

“Securing $107.5 million worth of orders for the first year of this pivotal contract demonstrates American Rheinmetall’s dedication to supporting the U.S. Army’s modernization goals,” said Matt Warnick, CEO of American Rheinmetall. “This achievement underscores our commitment to equipping the men and women in uniform with reliable, high-performance systems that enable mission success.”

The contract also reinforces American Rheinmetall’s growing portfolio, which includes six track types such as the T-158 and the T-161, used on platforms like the Bradley Fighting Vehicle and the M109A7 howitzer. These products support the mobility of a wide range of medium and heavy tracked vehicles in the U.S. Army’s inventory.

To meet contract demands, the company has significantly enhanced its U.S. manufacturing capabilities. Facilities in Plymouth, Michigan, and St. Marys, Ohio, have expanded operations, reactivating previously dormant processes and boosting employment in local communities.

The company’s efforts are aimed at addressing increased demand and replenishing inventory to ensure that the M1 Abrams fleet remains mission-ready. Timely deliveries of the T-158 tracks are a direct contribution to the U.S. Army’s global preparedness.

“Winning and executing this substantial contract marks a major milestone for American Rheinmetall as a U.S.-based OEM of mission-critical equipment,” said Jim Schirmer, Senior Vice President of Sales and Marketing. “Our team’s focus on quality and performance ensures that the U.S. Army’s track systems are built to withstand the rigors of modern warfare.”

Through this agreement, American Rheinmetall strengthens its position as a key provider of durable, high-value military mobility solutions. By combining advanced technology and production efficiency, the company remains committed to supporting the U.S. Army’s evolving needs.