ARCHIVED - "Canada First" Defence Procurement - Medium-Sized Logistics Trucks

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News Release / June 27, 2006 / Project number: NR-06.031

VALCARTIER – At an announcement today in Valcartier, Québec, Minister of National Defence Gordon O’Connor, Minister of Public Works and Government Services Michael Fortier and Commander Canada Command Lieutenant-General Marc Dumais outlined a $1.2 billion acquisition of 2,300 new medium-sized logistics trucks and associated equipment.

The new fleet of trucks will rebuild Canada's land forces’ ability to provide lift and logistical support on the ground and represent an essential investment for the Canadian Forces. Whether deployed on operations overseas, providing assistance during domestic emergencies, or in day-to-day operations in Canada, the role of the medium-sized logistics trucks is essential; getting people, equipment and supplies where they are needed most.

“This Government is committed to strengthening the Canadian Forces by ensuring that they finally have the equipment they need to get the job done,” said Minister O'Connor. “The Canada First Defence Strategy will ensure a stronger Canadian Forces and stronger Canada.”

“The procurement process will be fair, open, transparent and in line with this government's Federal Accountability Act and Action Plan,” said Minister Fortier. “A rigorous procurement process has been put in place to ensure that the equipment meets the needs of the men and women of the Canadian Forces while making sure that Canadian taxpayers get the best value for their hard earned money.”

“The Government will negotiate a specific industrial benefits package for this project," said Maxime Bernier, Minister of Industry. "We expect contractors to deliver one dollar in high-quality economic activity in Canada for every dollar they are awarded as part of this project. This economic benefits package will mean billions in long-term business activity in Canada.”

“These new trucks will ensure the lifeline of supply for front-line troops will continue,” said Lieutenant-General Marc Dumais, Commander Canada Command. “This fleet will continue the extremely important support role when the current MLVW fleet reaches the end of its life cycle.”

A competitive procurement process will select the contractor for the new truck fleet, with requests for proposals being released to industry for all elements of the project. The acquisition contracts will also have full economic benefits for Canadian industry – this means that for every contract dollar awarded, the contractor will commit a corresponding dollar in economic activity in Canada.

The Department of National Defence will procure 2,300 vehicles, associated components, logistics and training support at a cost of approximately $1.1 billion. It is estimated that 20 years of contracted in-service support will cost an additional $100 million.

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For more information please read the Medium Sized Logistics Trucks backgrounder available at: http://www.forces.gc.ca/site/newsroom/view_news_e.asp?id=1961.

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