Daimler Truck DTRUY and General Dynamics Land Systems, a subsidiary of General Dynamics GD, said on Friday they have formed a strategic partnership to explore future cooperation in developing, producing and servicing military logistics vehicles in select markets.
In the recently signed deal, the companies committed to further strengthening their collaboration in the field of military logistics vehicles.
The agreement is intended to expand the cooperation they have already established under Canada’s Logistics Vehicle Modernization program, a major contract awarded to them in 2024 as part of the LVM power team.
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Under the LVM program, more than 1,500 off-road logistics trucks will be delivered to the Canadian Armed Forces.
The companies stated they plan to tailor their vehicle portfolio more closely to the needs of potential customers in other regions and business areas worldwide, while also preparing to provide long-term support through replacement parts and services in those markets.
Dave Paddock, President of General Dynamics Land Systems, said, “Our collaboration with Daimler Truck on Canada’s LVM program has shown us that we have the knowledge and experience to take our tried-and-tested model internationally with the objective of offering the right solutions for militaries on both sides of the Atlantic.”
In July, General Dynamics reported second-quarter revenue of $13.04 billion, up 8.9% from a year earlier and above analysts’ estimates of $12.19 billion. The quarterly earnings rose 14.7% to $3.74 per share, beating the consensus forecast of $3.44. The company’s annual revenue is expected to rise by about $900 million to $51.2 billion, while full-year 2025 earnings are projected between $15.05 and $15.15 per share.
“With General Dynamics Land Systems at our side, we want to offer comprehensive solutions for armies worldwide, from basic vehicles to tailor-made equipment and chassis, to comprehensive long-term service and support. Our successful collaboration on the Canadian LVM contract has already shown the potential of this partnership”, stated Franziska Cusumano, CEO Mercedes-Benz Special Trucks.
Price Action: GD stock was trading lower by 0.55% to $322.78 at last check Friday. DTRUY was down 0.27%.
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Photo by Kristi Blokhin via Shutterstock
