The Bundestag, Germany’s federal parliament, has approved Germany’s purchase of over 100 Boxer Heavy Weapon Carrier vehicles that Rheinmetall Defence Australia will build at its Military Vehicle Centre of Excellence in Queensland, Canberra announced on Thursday.
Describing the procurement as the country’s “single largest defense export,” the Australian Department of Defence said the deal will contribute more than $650 million to the economy, directly creating over 600 jobs in Queensland plus more in the supply chain. The Boxer vehicle deliveries to Germany is expected to start in 2025.
Australian Defence Minister Richard Marles viewed the Boxer vehicle export to Germany as “a strengthening of the relationships between the two countries.”
In a separate press release, Rheinmetall said it valued the sales contract for up to 123 vehicles at around $2.9 billion, including service and maintenance. It expects the Boxer to replace the German Army’s Wiesel tracked vehicle and provide high firepower and rapid deployment capability over long distances.
The purchase follows the agreement in principle on the deal signed during Australian Prime Minister Anthony Albanese’s visit to Berlin in July 2023.
Voice of America reported that Rheinmetall Defence Australia started manufacturing Boxer in March 2023 and has a contract to supply over 200 vehicles to the Australian army.