DRB-HICOM'S Defence Technologies Sdn Bhd (Deftech) has begun production for 257 units of 8x8 armoured wheeled vehicles (AWV) for the army, with delivery of the first batch in five years' time.
Defence Minister Datuk Seri Dr Ahmad Zahid Hamidi yesterday said Deftech would develop, manufacture, supply and deliver 12 variants of the AWV over a span of 13 years through collaboration with Turkey's FNSS Savunma Sistemleri AS.
"The AWV deal has benefitted local defence industries leading to over 100 vendors clinching various contracts," he said at the Mahsuri International Exhibition Centre.
Zahid said the Deftech deal with the Defence Ministry was worth RM4.27 billion.
FNSS is a joint venture between British-based BAE Systems Inc, the world's biggest arms group, and Turkey's Nurol Holdings.
DefTech is already spending about RM100 million to expand its plants in Pekan and Nilai to cater to the production of the AWVs.
Codenamed AV-8 8x8 due to its eight-by-eight wheel configuration, the AWV and its 12 variants would be Malaysia's first such indigenous family of armoured vehicles following the transfer of advanced defence technologies and patterns to Deftech, of which Deftech will own its first intellectual property rights on them.
The AV-8 is based loosely on the Adnan armoured combat vehicle which recently saw action in Lahad Datu. It is a longer vehicle, one variant of which will be carrying 120mm mortars, whereas the mortar variant of the Adnan carries 80mm mortars.
Zahid said the success of events like the Langkawi International Maritime and Aerospace (Lima) and Defence Services Asia (DSA) exhibitions had created spin-offs for numerous local companies, creating over 50,000 jobs since 1991.
"I am proud to note that nearly 50 per cent of these companies consist of retired armed forces officers and other ranks who have become successful entrepreneurs."
On another note, Zahid said that Boustead Heavy Industries had won a RM47.4 million contract to maintain six Eurocopter AS555 Fennec helicopters for the Royal Malaysian Navy.
On Lima, Zahid said that it would continue to be staged in the idyllic island of Langkawi and would continue to be relevant as it exhibits the latest products and services at each series.
"Lima will continue to be an attraction as it has led to the collaboration of new technologies and spun-off new businesses, especially for the Malaysian Defence and Security Technology Park in Sungkai, Perak."
As for Lima '13, Zahid said there were 1,022 business-to-business meetings until Thursday and had drawn nearly 40,000 trade visitors.
Lima opened it doors to the public yesterday and ends today.
source New Straits Times
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