The Government of Canada has awarded two contracts to Rheinmetall Canada Inc. to provide enhanced recovery vehicles and equipment for the Canadian Armed Forces (CAF).
The contracts, valued at approximately $374 million for acquisition and an additional $30.4 million for in-service support, underscore Canada’s efforts to modernize military capabilities and support its defense forces with upgraded logistics and recovery tools.
The Minister of Public Services and Procurement Jean-Yves Duclos, announced the contracts on behalf of National Defence Minister Bill Blair. Duclos highlighted the importance of the Enhanced Recovery Capability (ERC) project: “Today’s announcement will enable the Enhanced Recovery Capability project to provide our CAF members with the essential equipment they need to serve safely and effectively during recovery operations and training.”
Under the contracts, Rheinmetall will supply 85 Enhanced Recovery Capability vehicles, including 24 armoured cabs and other ancillary equipment. These new vehicles are specifically designed to recover newer and heavier armored vehicles and other logistics vehicles that the current fleet cannot manage. The contracts also include an integrated logistics support framework and options to procure additional vehicles if needed.
The ERC vehicles will play a critical role in enabling CAF members to recover wheeled vehicles and intermodal containers effectively during operations, training, and garrison support. The vehicles come equipped with enhanced towing, winching, extraction, and lifting capabilities to ensure safe and effective vehicle recovery in various operational environments.
Minister of National Defence Bill Blair emphasized the impact of the procurement: “The members of the Canadian Armed Forces deserve modern equipment to successfully carry out missions at home and abroad. The procurement of Enhanced Recovery Capability vehicles announced today will provide better protection for our members in high-threat environments, enabling them to better defend Canada and strengthen our ability to work with our allies.”
The contracts also bring significant economic benefits to Canada, with Rheinmetall making targeted investments through Canada’s Industrial and Technological Benefits Policy. Rheinmetall’s commitment under this program is expected to contribute around $35.5 million annually to the Canadian GDP and maintain or create 245 jobs per year over an 11-year period.
Lieutenant-General Michael Wright, Commander of the Canadian Army, underscored the importance of the project: “These heavy tow trucks and other special equipment will enhance our ability to safely recover and repair vehicle casualties even in the presence of enemy forces. By meeting allied fuel and mobility standards, the ERCs ensure Canada can continue to be an effective partner in multinational engagements.”
The first delivery of these recovery vehicles is expected to take place in the coming years, with the broader fleet gradually introduced by 2029. The partnership with Rheinmetall Canada also reflects the government’s broader defense policy, “Our North, Strong and Free,” aimed at expanding CAF capabilities while investing in the domestic defense industry.
The government’s commitment to supporting the armed forces through initiatives like the ERC project not only enhances military preparedness but also secures economic growth by fostering technological development and high-quality jobs in the country.
