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Oshkosh Defense could regain JLTV contract work

OSHKOSH – Oshkosh Defense seems set on getting back a contract it once lost.

Even more military production could be returning to Oshkosh plants, with the U.S. Marine Corps seeking input for a potential second supplier of Joint Light Tactical Vehicles.

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The Marine Corps posted the request for information (RFI) last month amid reports of delivery delays from AM General — the company Oshkosh Defense lost the original contract to in 2023.

“With an active, proven production line and more than 6,000 JLTVs already delivered to the Marine Corps, Oshkosh is uniquely positioned to provide dependable, near-term production capacity if called upon,” said Oshkosh Defense Chief Growth Officer Logan Jones in a written statement.

“Because of our existing infrastructure, experienced workforce, and established supply chain, we believe we would be well positioned to transition to JLTV vehicle production on an accelerated timeline compared to standing up a new production capability,” Jones added.

Is there a proposed JLTV contract?

No contract details were announced, with the Marine Corps saying the RFI was for “market purposes only” and didn’t constitute a future contract, bid invitation or request for proposal.

Responses were required by June 10 before the contract is set to be awarded in November.

Why is this good news for Oshkosh Corp.?

The request for information for a second supplier comes as welcome news for Oshkosh Defense considering the specialty military vehicle contractor is just one of two known JLTV producers.

Oshkosh Defense has also been facing some economic uncertainty, having laid off 158 plant workers in January after reporting a $52.8 million decline in third-quarter sales last year.

Both UAW Local 578 and Oshkosh Corp. said 98 workers were scheduled to be recalled following news that Oshkosh Defense was awarded a $16.9 million contract from the Department of Defense — renamed the Department of War by President Donald Trump — for Remotely Operated Ground Unit for Expeditionary Fires.

Would JLTV production be done in Oshkosh?

Sources close to the situation revealed more than 20 of those workers have yet to be recalled, but said Oshkosh Corp. is hoping to move JLTV production to the Harrison Street plant if awarded the contract.

The union and Oshkosh Corp. are currently in arbitration over allegations of the company placing non-union members in contractually bargained facilities.

UAW Local 578 President Bob Lynk previously attributed the staff reductions to the company’s focus on its military line despite losing out on that five-year JLTV contract worth $8.7 billion.

Did Oshkosh Defense ever produce JLTVs for the US Armed Forces?

Oshkosh Defense won the initial bid to produce 16,901 JLTVs for the Army and Marine Corps in 2015 for $6.7 billion before AM General was awarded the follow-up contract eight years later.

AM General was supposed to produce around 20,000 JLTVs and 10,000 trailers as part of that deal, but the initial deliver was delayed by six months because of challenges starting a new production line.

In a situation overview of the recent RFI, Oshkosh Defense claimed the current JLTV is 18 months behind schedule “with only small quantities of production vehicles to date.”

What is the current situation with the Armed Forces’ JLTV contract?

According to the current administration, the Army is canceling its current JLTV contract, with plans to procure no additional JLTVs beyond the 250 vehicles delivered in January.

Claiming they were not consulted on the Army’s decision, the Marine Corps said they will buy fewer JLTV’s going forward but will still replace its High Mobility Multipurpose Wheeled Vehicle fleet with JLTVs.

“We remain committed to delivering proven capability, industrial capacity and manufacturing expertise in support of the Warfighter and the Marine Corps’ evolving mission needs,” wrote Jones.

What are JLTVs?

According to Oshkosh Defense, JLTVs are mobile armored light trucks designed to bridge the gap between heavy vehicles and older Humvees.

They act as mobile command centers with drone controls and battle networks and can be sling-loaded under helicopters or airlifted inside cargo planes.

Contact Justin Marville at jmarville@usatodayco.com and follow him on X (formerly Twitter) at @justinmarville.

This article originally appeared on Oshkosh Northwestern: Oshkosh Defense could regain JLTV contract work

Reporting by Justin Marville, Oshkosh Northwestern / Oshkosh Northwestern

USA TODAY Network via Reuters Connect

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