U.S. approves $160 million sale of JLTVs to Canada
The U.S. State Department has approved a potential $160 million Foreign Military Sale to Canada for Joint Light Tactical Vehicles (JLTVs) and associated equipment, the Defense Security Cooperation Agency (DSCA) announced.
The agency has delivered the required certification to Congress, clearing the way for the proposed transfer.
According to the DSCA, the Government of Canada has requested up to 60 JLTVs and nine JLTV cargo trailers.
The package also includes communication systems, mobility equipment, lethality and survivability upgrades, spare and repair parts, special tools, technical manuals, maintenance trainers, and total package fielding support. Additional services cover depot-level maintenance and repair, U.S. Government and contractor technical assistance, engineering, logistics support, and new equipment training.
The estimated total program cost is $160 million.
In its release, the DSCA said the proposed sale aligns with U.S. foreign policy and national security goals by strengthening the capabilities of Canada, described as “a NATO Ally that is an important force for ensuring political stability and economic progress, and a contributor to military, peacekeeping, and humanitarian operations around the world.”
The agency noted that the acquisition will enhance Canada’s ability to respond to both current and emerging threats, as well as operate in “more complex and rapidly changing environments.” It also emphasized the sale’s role in advancing burden-sharing among allies and partners engaged in global peace and stability missions.
The DSCA stated that Canada “will have no difficulty absorbing these articles and services into its armed forces.” The transaction is not expected to alter the basic military balance in the region.
The principal contractor for the program will be AM General, LLC, with operations in Auburn Hills, Michigan, and Mishawaka, Indiana. While Canada typically requests industrial offsets, the DSCA said any such agreement will be negotiated directly between the purchaser and AM General.
Implementation of the program will involve multiple trips to Canada over a period of up to six years, with as many as 15 U.S. Government personnel and 20 contractor representatives providing on-site support for fielding, training, and logistics.
The principal contractor for the program will be AM General, LLC, with operations in Auburn Hills, Michigan, and Mishawaka, Indiana. AM General was awarded the JLTV production contract in 2023, taking over from Oshkosh Defense, which had originally won the JLTV competition in 2015.
If the sale proceeds, the Canadian Armed Forces will integrate the JLTV into its existing vehicle fleet to expand tactical mobility and improve protection for personnel during operations at home and abroad.