Romania: Otokar wins multi-million deal for Cobra II armoured vehicles

In a statement submitted to Turkey’s Public Disclosure Platform (KAP) on 4th October, Otokar confirmed that the first 278 vehicles will be manufactured at its facilities in Turkey, while the remaining vehicles will be assembled in Romania. This local production is part of a broader strategic partnership that aims to enhance Romania’s defence manufacturing capabilities.

The tender for the procurement of 4×4 tactical armoured vehicles was issued by Romania’s Ministry of National Defence through its state-owned company, C.N. Romtehnica S.A. Otokar was selected after successfully meeting the ministry’s technical specifications, completing field tests, and passing commercial evaluations.

The multi-year contract will see Otokar delivering the vehicles in various configurations, with nine different models, including a base model and eight additional variants, to equip the Romanian Armed Forces. These vehicles will play a key role in modernising Romania’s military as the country looks to strengthen its defence capabilities amid regional security concerns.

A crucial aspect of the contract is the stipulation for local production within Romania, which was a decisive factor in the tender process. This requirement aims to promote local industry, ensuring that more than half of the 1,059 vehicles will be assembled domestically, further strengthening Romania’s defence industry.

Otokar’s successful bid outperformed competitors, including U.S.-based Oshkosh, whose JLTV vehicles did not meet the local production criteria. Financial constraints, low profit margins, and strict contractual conditions also discouraged other potential bidders from participating.

Otokar’s relationship with Romania has been steadily growing since 2018 when the company delivered 400 buses under a previous agreement. To support its increasing operations in the country, Otokar established a subsidiary, “Otokar Romania,” to manage its contracts and collaboration with the Romanian government.

This latest deal is expected to deepen the partnership between the two NATO member states, enhancing Romania’s defence capabilities while offering a significant boost to Otokar’s export portfolio. The introduction of Cobra II vehicles into Romania’s military aligns with the country’s broader efforts to modernise its armed forces and develop a self-sustaining national defence industry.