Philippine Defense Resource: October 2020

Sunday, October 25, 2020

Light to Medium Weight Multi-Purpose Twin Engine Helicopter Acquisition Projects of the Philippine Coast Guard

Note: The heading and the overview was written by one of our contributors, Herbie, and Philippine Defense Resource and MaxDefense Philippines thanks him for his contribution.

The Maritime Disaster Response Helicopter Acquisition Project involves the acquisition of seven (7) multirole helicopters to strengthen and expand PCG's maritime disaster response capabilities during maritime incidents, natural disasters and calamities. It also involves the training of pilots and technical crew, procurement of mission equipment and tools and spare parts for five (5) years.
* http://www.neda.gov.ph/wp-content/uploads/2018/05/Interim-Project-Information-Database-IPAM-as-of-May-31-2018.pdf

The helicopters will be deployed in PCG's proposed six circles of influence with a 200 nautical mile radius - Northern Luzon, NCR/ Central Luzon, Palawan, Central and Eastern Visayas, Southwest Mindanao and Southeast Mindanao. The light helicopters shall perform SAR missions an shall mainly be deployed aboard the 56-meter SAR Vessels in the present inventory of the PCG employing the mother-ship concept immensely expanding the coverage area of operations.

The two Airbus H145 helicopters of the PCG, with tail numbers CGH-1451 and CGH-1452. Credits to original sources of photos.

Project Summary:

Light to Medium Weight Multi-Purpose Twin Engine Helicopter Acquisition Projects:

Note: Edited as of 25 October 2020.

* End User: Philippine Coast Guard (Air Unit)

* Quantity: 2 helicopters, only 1 with FLIR and weather radar

* Project ABC:
* With FLIR Camera and Weather Radar: Php745,620,000.00
* Without FLIR Camera and Weather Radar: Php685,805,000.00

* Acquisition Mode: Public Bidding

* Source of Funding: PCG General Appropriations Act FY2018

* SARO Release: TBA

* Winning Proponent: Airbus Helicopters Southeast Asia Pte Ltd

* Product for Delivery: 2 Airbus Helicopters H145

* Contract Price:
* With FLIR Camera and Weather Radar: Php745,120,000.00
* Without FLIR Camera and Weather Radar: TBC

* First post by MaxDefense: 22 June 2018

* MaxDefense Searching Hashtag: #PCGLightHelicopterAcquisition

* Status: NOA issued on 19 May 2018 for FLIR-less helicopter, and 18 June 2018 for FLIR-equipped helicopter to Airbus Helicopters. NTP was issued on 15 November 2018, and 19 July 2018, respectively. First helicopter without FLIR camera and weather radar commissioned on June 2020, second helicopter with FLIR camera and weather radar commissioned on October 2020. PROJECT COMPLETED.

Overview:

One of the early documents to state this Maritime Disaster Response Helicopter requirement is the “RA008-02: Formulating a National Transport Plan” that dates back to March 2010. It was commissioned by the Philippines – Australia Partnership for Economic Governance Reforms (PEGR) group and was initiated by the Australian Government. It stated that the Philippine Government work for the “Development maritime disaster response capabilities.” The indicator to achieve this objective is a target of 8 “Number of multi-purpose maritime helicopters” (including 1 for training). It was estimated to cost PHP 5.836 billion during that time.

That March 2010 National Transport Plan cited the Feasibility Study on the PCG Helicopter Acquisition Project that was completed the previous year by the Transport and Traffic Planners (TTPI) Inc. This would show that the number of units was carefully studied with relevant data at that time.

* http://www.ttpiph.com/Projects_Maritime_Transport.aspx?id=150

A separate 2010 Australian program, Building the Resilience and Awareness of Metro Manila Communities to Natural Disasters and Climate Change Impacts (BRACE Program) Annex 3 stated the project to have a planned funding source from Germany-Caiyon with a PHP 5.8 billion cost. The procurement of seven Maritime Disaster Response (MDR) helicopters was detailed in this program.

As the PCG was still waiting for the NEDA approval of this project since at least September 2009, by 2011, the former DOTC was given a budget of PHP 1,545,567,000 for two helicopters as was reported in various news outlets at that time. From 2011-2013, the project had a budget courtesy of a German loan, from Credit Agricole, for a total of PHP 5,409,485,000. But for some reason, the DOTC didn’t purchase the helicopters using the German loan.

2011 - http://www.dbm.gov.ph/wp-content/uploads/GAA/GAA2011/DOTC/DOTC.pdf,page5 ---- Php1,545,567,000
2012 - http://www.dbm.gov.ph/wp-content/uploads/GAA/GAA2012/DOTC/DOTC.pdf page16 --- Php3,397,984,000
2013 - http://www.dbm.gov.ph/wp-content/uploads/GAA/GAA2013/DOTC/DOTC.pdf page5 ----- Php465,935,000
https://www.dbm.gov.ph/wp-content/uploads/BESF/BESF2013/B15.pdf

From 2014 to 2015, there was still no movement for the approval in the NEDA-ICC level. The final approval will still be done by the NEDA Board.

Around 2014, the PCG presented a paper in an International Conference that showed that there are two categories of helicopters the PCG was looking at: light and medium. For the light helicopters, the Bell 429, Bell 430, A109E, EC145 (H145), and MD902 were the candidates for this requirement. For the medium helicopter requirement, the S-76C++, Bell 412EP, and AS365 N3 were the potential models for this category. The presentation also showed that it must prioritize interoperability with PCG Search and Rescue vessels.

With no NEDA ICC and no NEDA Board approval yet, the PCG was given a budget for the helicopters. Around July 2015, the PCG invited bidders for the “Procurement of Two (2) Light to Medium Weight Search and Rescue Helicopter” with a budget of PHP 777,600,000. Unfortunately, this was cancelled the next month, with a “For Review” as a comment on the bid. It is interesting to note that this bid was for two units of helicopters.

The following year, around November 2016, a new bid was out and the name was changed into “Procurement of Light to Medium Weight Search and Rescue Helicopter” for one unit of helicopter with the same budget of PHP 777,600,000.00. Unfortunately, this again was cancelled the following month. This particular bid noted that the DBM Procurement Service (DBM-PS) will continue the procurement of this bid.

October 2017, with the DBM-PS undertaking the procurement, it bidded out the item and its name was changed into “Supply, Delivery, Testing and Commissioning of Light to Medium Weight, Multi-Purpose, Twin Engine Helicopter for the PCG” for one unit of helicopter with a budget of PHP 745,620,000. Two months later, the bidding failed due to “The bid is not responsive”.

December 2017, the NEDA-ICC-CabCom, co-chaired by the Department of Finance (DOF) and NEDA, discussed and noted the Department of Transportation/ Philippine Coast Guard’s report on the comparative analysis of lease and purchase options for the Maritime Disaster Response Helicopter Acquisition. The PCG comparative analysis recommended a direct purchase arrangement supported by Official Development Assistance (ODA).
* http://www.neda.gov.ph/neda-icc-cabcom-approves-extension-of-loan-validity-timeline-of-two-projects/

With this assessment, the PCG may avail of a Japan International Cooperation Agency (JICA) STEP loan for the H145//BK117 D-3 as it is partly Japanese technology as it is co-developed by Kawasaki Heavy Industries, Ltd. and Airbus Helicopters Deutschland GmbH.
* https://global.kawasaki.com/en/corp/newsroom/news/detail/?f=20190306_9636
* https://www.jica.go.jp/english/our_work/types_of_assistance/oda_loans/step/c8h0vm000053zae9-att/operational_rules.pdf

April 3, 2018, the PCG invited bidders for the “Supply, Delivery, Testing and Commissioning of Light to Medium Weight, Multi-Purpose, Twin Engine Helicopter for the Philippine Coast Guard (PCG)” project for one unit of helicopter with a budget of PHP 685,805,000. The Notice of Award for the SAR Helicopter was given last May 19 2018. By November 2018, a Notice to Proceed was issued to Airbus Helicopters Southeast Asia PTE LTD for an H145 without FLIR. It is expected to be delivered not later than March 15 2020.

April 19, 2018, the DBM-PS invited bidders for the “Supply, Delivery, Testing and Commissioning of Light to Medium Weight, Multi-Purpose, Twin Engine Helicopter for the Philippine Coast Guard (PCG)” project for one unit of helicopter with a budget of PHP 745,620,000. The Notice of Award (NOA) was issued last June 18 2018. The Notice to Proceed was issued July 2018 to Airbus Helicopters Southeast Asia PTE LTD for an H145 with FLIR and weather radar. The newly added PCG Air Asset is expected to be delivered not later than January 09, 2020. This is the tender that was announced by Airbus in their website.

* https://www.airbus.com/newsroom/press-releases/en/2018/09/philippine-coast-guard-becomes-philippines--first-h145-operator-.html

January 2019, in a Department of Finance report, the status of this project was “NEDA-ICC conditional approval subject to submission of risk assessment and sensitivity analysis”.
* http://sulong2018.dof.gov.ph/wp-content/uploads/2019/03/Reco-2.pdf

July 8 2019, the project is now undergoing a NEDA-ICC Secretariat review. The NEDA received the DOTr response to the NEDA-ICC instructions last June 28, 2019. It is now listed under “Projects for Inclusion in the Agenda of the Next ICC-CC Meeting”. The funding source is now determined as “Local Financing” (compared to the ODA recommendation of the PCG shown above) and with a total project cost at PHP 5.88749 billion. We can compare this to the estimated cost listed last March 2010 at PHP 5.836 billion showing that inflation may certainly affect the inclusions in this project like mission equipment and spares.

With all these steps the project is undergoing through the NEDA project approval process, of the four (4) listed Maritime Safety and Security Projects of the PCG in the 2017-2022 Public Investment Program (PIP) published by NEDA., it is currently the only project remaining not yet approved by the NEDA Board. Project implementation will only commence once it gets the final approval from the NEDA Board.

* http://www.neda.gov.ph/wp-content/uploads/2018/09/chapter-18.xlsx
* http://www.neda.gov.ph/wp-content/uploads/2017/01/PIP-Chapter-19-as-of-10042018.pdf

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U P D A T E S:
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22 June 2018:

PhilGEPS posted on its website, that Airbus Helicopters was awarded the project to supply 1 multipurpose twin-engine helicopter to fulfil a requirement for a Search and Rescue Helicopter for the Philippine Coast Guard, with a budget of Php745,620,000.00.

No specific helicopter model was mention, MaxDefense believes it to be the Airbus H145. MaxDefense will try to confirm the model in the near future to close our info search for this project.

The PhilGEPS screen grab on Airbus' win for the project. This is for the unit with the EO/IR camera and weather radar.

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03 August 2018:

Take a sneak peek on the next helicopter of the Philippine Coast Guard - the Airbus Helicopters H145. At least 1 was confirmed for delivery after Airbus Helicopters won a bidding conducted by the DBM's Procurement Services under the PCG's Maritime Disaster Response Helicopter acquisition project with the assistance from the National Economic Development Authority (NEDA).

At least 7 units are said to be required by the PCG, although more can be acquired later on. The helicopters are to operate from land and should have no problem operating from the PCG's existing and future fleet of helicopter-capable patrol vessels. The PCG currently operates an old MBB BO-105 helicopter that needs to be replaced very soon.

Photos from Airbus Helicopters.

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26 September 2018:

Airbus Helicopters confirmed MaxDefense's post made last 03 August 2018, that the Philippine Coast Guard has ordered for a single H145 twin-engine 4-ton multi-purpose helicopter.

MaxDefense expects the PCG to order more H145 helicopters considering they have an existing plan to acquire at least 7 units for their near-term goal requirements.

Airbus is currently represented in the recently-opened ADAS 2018 Defense Exhibition in World Trade Center, Pasay City.

Here's the full text of their press release:
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Philippines, 26 September 2018 – Philippine Coast Guard has placed an order for one H145 helicopter, making it the first H145 parapublic operator in the Philippines.

The new 4-tonne-class twin-engine helicopter is specially equipped with high frequency radios, emergency flotation gear, fast roping, cargo sling, search light, and electro-optical systems to perform critical missions including search and rescue, medical evacuation, maritime patrol and law enforcement. The latest contract will also encompass on-site technical support and continuing airworthiness management organisation services, fully supported by Airbus’ team in the country.

“We are honoured by the Philippine Coast Guard’s decision to introduce the country’s first parapublic H145 into its fleet, as the perfect complement to the current workhorse BO105 which has served the agency well for the past 40 years. We have full confidence in the H145’s ability to support the agency’s work, coupled with our dedicated in-country customer centre which stays committed to supporting its operations in close proximity,” said Philippe Monteux, Head of Southeast Asia and Pacific of Airbus Helicopters.

The H145 is the market leader for rescue missions, with over 1,400 helicopters of the H145 family in service globally, and achieving close to five million flight hours. Due to its small footprint, agility and designed-in mission capability and flexibility, the H145 is particularly ideal for a wide range of missions. It is equipped with Airbus’ state-of-the-art Helionix avionics suite and 4-axis autopilot system, which helps to reduce pilot workload during missions. In the Philippines alone, there are currently four H145 helicopters operating in the country, mainly for business aviation purposes.

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21 July 2019:

First photos from Germany of the Philippine Coast Guard's first of two new Airbus Helicopters EC145T2 (H145) light twin engine helicopter ordered in 2018 as part of the PCG's Light to Medium Multi-Purpose Twin Engine Helicopter acquisition project.

MaxDefense was informed by PCG sources that flight personnel are already undergoing training in Germany in preparation for an early delivery within the next few months.

It would be remembered that the PCG had 2 separate procurements for 1 helicopter each: one undertaken by the PCG BAC for an EC145T2 without FLIR, and one undertaken by the DBM BAC for an EC145T2 with FLIR and all weather radar.

The unit with FLIR and all weather radar was given a Notice to Proceed (NTP) first last July 2018, and is scheduled for delivery on or before January 2020.

MaxDefense will be posting more about the PCG's Helicopter acquisitions projects soon.

Photo credits to MaxDefense community member who shared these photos to us.

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29 December 2019:

The second Airbus H145 twin engine light helicopter for the Philippine Coast Guard, the one without the FLIR and weather radar, has been spotted in Germany. This was ordered without a FLIR turret included, unlike the first unit which have them as standard when delivered.

This unit is expected to be delivered to the PCG by early next year.

Photo credited to Alexander Lutz c/o Helionline.de.

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22 February 2020:

PCG officers enjoying their upcoming Airbus H145 twin engine helicopter as it starts getting fitted with equipment that comes with the contract. This appears to be the first H145 helicopter, since the PCG actually is expecting 2 units.

Thanks to one of our community member who shared the photos to our community.

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26 February 2020:

The Philippine Coast Guard's new Airbus H145 twin engine multipurpose helicopter has landed on the PCG's headquarters in Manila. This example appears to be the first of two units ordered recently.

Thanks to one of our contributor for sharing this photo to us!

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17 October 2020:

Our Youtube channel posted a new video on the recent commissioning of the second Airbus H145 helicopter for the Philippine Coast Guard, with tail number 1451 equipped with an EO/IR or FLIR camera and a weather radar on its nose.

This marks the completion of the project after 2 years since it was first reported that Airbus Helicopters won both projects.

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With the two Airbus Helicopters H145 twin-engine helicopters already delivered and formally commissioned with the Philippine Coast Guard, MaxDefense and Philippine Defense Resource officially consider the Light to Medium Weight Multi-Purpose Twin-Engine Helicopter Acquisition Projects of the Philippine Coast Guard as COMPLETED.

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First edit and release: 25 October 2020
Copyright Philippine Defense Resource / MaxDefense Philippines

Monday, October 19, 2020

Kia KM250 6x6 Trucks Acquisition Project of the Philippine Air Force

The Philippine Air Force (PAF) has included the acquisition of additional 2.5-ton trucks, specifically the Kia KM250 6x6 truck, as part of the Horizon 2 Phase Priority Projects under the Revised AFP Modernization Program.

A total of 50 trucks were requested by the PAF, which would assist them in filling logistics requirements including troop and cargo transport, and utilitarian roles.

Since the PAF was specific in getting the Kia KM250, it appears that the plan was to hitch with the plan of the General Headquarters, Armed Forces of the Philippines to order trucks under their Truck, Troop Carrier Medium Acquisition Project which also called for the acquisition of 300 Kia KM250 6x6 trucks.

The Kia KM250 6x6 trucks as they were officially received by the PAF on 16 October 2020. Photo credits to Air Logistics Command, Philippine Air Force.

Project Summary:

Kia KM250 6x6 Trucks Acquisition Project:

Note: Edited as of 19 October 2020.

* End User: Philippine Air Force (Air Logistics Command)

* Quantity: 50 units

* Modernization Phase: Horizon 2 Priority Projects of RAFPMP

* Project ABC: Php310,000,000.00

* Acquisition Mode: Government-to-Government (G2G) Procurement with South Korean government.

* Source of Funding: General Appropriations Act FY2019

* SARO Release: TBA

* Winning Proponent: Korea Trade Investment Promotion Agency (KOTRA), on behalf of Kia Motors Co.

* Product for Delivery: 50 Kia KM250 2.5-ton 6x6 Troop Carrier trucks

* Contract Price: TBA

* Residual Price: TBA

* First post by MaxDefense: 25 July 2020

* MaxDefense Searching Hashtag: #PAFKiaKM250Acquisition

* Status: All 50 vehicles delivered as of July 2020, and formally accepted on October 2020. PROJECT COMPLETED.

A Kia KM250 2.5-ton 6x6 truck. Photo credits to Kia Motors.

Overview:

The Philippine Air Force has been at the receiving end of allocations of Kia KM250 6x6 trucks from the General Headquarters, AFP since they started standardizing the Korean-made trucks.

But the decision by the PAF to acquire them as part of their own acquisition programs might be a sign that they are not getting enough trucks, and would be better off with buying their own using the funds they are receiving as part of the AFP Modernization Program, rather than waiting for GHQ, AFP to buy for them.

A contract between the Department of National Defense (DND) and the Korea Trade Investment Promotion Agency (KOTRA) was believed to have been signed in the 3rd quarter of 2019, together with the other projects from the AFP that were meant for acquiring Korean trucks.

Delivery was expected to be completed by 2020, with the trucks going to the Air Logistics Command, which will distribute the trucks to different PAF bases and units.

The Philippine Army also received several Kia KM250 trucks that were part of the same deal with KOTRA, but under a different project from the GHQ, AFP separate from the order made by the Philippine Air Force. Photo credits to Philippine Army.

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25 July 2020:

MaxDefense has posted on the confirmation of arrival of the Kia KM250 trucks ordered by the Philippine Air Force, as one of its community member shared photos of the trucks, in PAF dark blue colors.

MaxDefense also received an initial information from another source that the trucks arrived in Batangas Port early this month, together with other Kia KM250 trucks in army green paint scheme.

Kia KM250 trucks, as they were delivered to the PAF last July 2020. Photo credits to a MaxDefense community member who wish to remain anonymous.

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16 October 2020:

The Philippine Air Force's Air Logistics Command formally received the 50 Kia KM250 trucks it acquired, together with a newly restored Bell UH-1H Huey combat utility helicopter and some Isuzu firetrucks, during ceremonies held on 16 October 2020 at Clark Air Base, Pampanga.

The trucks would be distributed to different PAF units to improve their logistics capabilities.

The PAF formally accepted 50 Kia KM250 trucks, several small fire trucks and utility vehicles, and a newly repaired UH-1H Huey combat utility helicopter. Photos credited to Air Logistics Command, Philippine Air Force.

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With the Kia KM250 2.5-ton 6x6 trucks already delivered and formally inducted with the Philippine Air Force, MaxDefense and Philippine Defense Resource officially consider the Kia KM250 6x6 Trucks Acquisition Project of the Philippine Air Force as COMPLETED.

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First edit and release: 19 October 2020
Copyright Philippine Defense Resource / MaxDefense Philippines

Sunday, October 18, 2020

Wheeled Armored Personnel Carrier (APC) Acquisition Project of the Philippine Army

To improve the mobility of the Philippine Army's Mechanized Infantry Division, as well as introduce a new model to complement and eventually replace ageing assets, the Philippine Army submitted a request for the acquisition of a new fleet of wheeled Armored Personnel Carriers (APC) to the Department of National Defense (DND).

This request was included in the Horizon 2 phase Priority Projects of the Revised AFP Modernization Program (RAFPMP) as simply the Wheeled Armored Personnel Carrier (APC) Acquisition Project of the Philippine Army.

It was originally planned to be an upgrade program for the PA's existing fleet of Cadillac Gage V-150 Commando and GKN Simba 4x4 wheeled armored vehicles. The plan was later revised to acquiring and introducing a new vehicle instead.

The Iveco VBTP-MR Guarani 6x6 armored vehicle, which is based on Iveco's SuperAV 8x8 armored vehicle. The vehicle is also among those offered to the Philippine Army. Photo taken from Dialogo Americas website.

Project Summary:

Wheeled Armored Personnel Carrier (APC) Acquisition Project:

Note: Edited as of 23 December 2023.

* End User: Philippine Army (Armor Division)

* Quantity: 28 units

* Modernization Phase: Horizon 2 Priority Projects of RAFPMP

* Project ABC: Php2,265,200,000.00

* Acquisition Mode: Government-to-Government (G2G) Procurement with Israeli Ministry of Defense.

* Source of Funding: General Appropriations Act (GAA) starting FY2020

* SARO Releases:
- 1st Tranche - SARO-BMB-D-20-0017340 worth Php339,780,000.00 (15% initial payment) dated 19 October 2020, released 21 October 2020.

- 2nd Tranche - SARO-BMB-D-21-0001613 worth Php792,820,000.00 dated 16 April 2021, released 21 April 2021.

* Winning Proponent: Elbit Systems Land & C4I

* Product for Delivery:
- 28 units of IVECO Guarani wheeled 6x6 Armored Personnel Carriers (APC)
- Mounted with a manned turret armed with a 12.7mm heavy machine gun and 40mm automatic grenade launcher
- Options to alternatively equip with remote-controlled weapon station (RCWS) with a 12.7mm heavy machine gun.

* Contract Price: approx. less than Php2,265,200,000.00

* Residual Price: Php0.00 (for final confirmation)

* First post by MaxDefense: 15 November 2015

* MaxDefense Searching Hashtag: #PAWheeledAPCAcquisition

* Status: Notice of Award (NOA) released in favor of Elbit Systems Land & C4I on 3rd quarter 2020, 1st tranche funding for downpayment released by DBM on October 2020. Contract confirmed to have been signed as of 07 February 2021, and Notice to Proceed (NTP) may follow soon. 2nd tranche of MYCA payment released on April 2021. Delivery of the first batch was scheduled in 2022, but Germany was said to have stopped the delivery of the first 5 units due to export restrictions to the Philippines. This has been cleared as of September 2023, and the first 5 vehicles were shipped to the Philippines on late October 2023. No news if the vehicles have arrived as of 23 December 2023.

The Pandur II 6x6 wheeled armored vehicle, which is also among those offered to the Philippine Army. Credits to original source of the photo.

Overview:

The Philippine Army has seen the need for more wheeled armored personnel carriers (APC) that would be assigned with in the mechanized component of its newly-formed 1st Brigade Combat Team. The selected model is also expected to be carried over for future follow-on orders to equip the 2nd and 3rd Brigade Combat Teams which are also being formed by the Philippine Army for external defense.

Based on DND documents on the Horizon 2 Phase proposal submitted in 2017, the Philippine Army originally requested for 114 units of new Wheeled APCs, in addition to upgrading its existing fleet of Simba and V-150 Commando 4x4 armored vehicles.

In the end, funds for only 28 units was approved by Pres. Duterte in June 2018.

The basic requirements for the Wheeled APC is for it to be a 6x6 platform. This is to compensate for the lack of sufficient space found on 4x4 platforms like the existing Cadillac Gage V-150 Commando and GKN Simba wheeled armored vehicles. A 6x6 is also not too long compared to 8x8 platforms, as the PA learned lessons from the Battle of Marawi where vehicles should be practically sized to easily move around in tight spaces like urban combat.

This concept means that the Philippine Army may reserve bigger 8x8 vehicles as heavy weapon platforms, as seen in the decision to include 8x8 tank destroyers armed with 105mm guns in their Light Tank Acquisition Project.

MaxDefense was also informed that there is no requirement for the vehicles to be amphibious-capable, although it would be an added advantage if the vehicle selected inherently has that capability.

For weapon systems, the Philippine Army is said to prefer a manned turret armed with a 12.7mm heavy machine gun and 40mm automatic grenade launcher, in addition to smoke grenade launchers. The reason is said to be budget-related, but also due to lessons again from the Battle of Marawi, as the Remote Controlled Weapon System (RCWS) has some disadvantages especially in urban fighting against enemy snipers.

But this requirement could be negotiable although an RCWS mount is expected to be more expensive due to the technology involved.

28 units to equip two Mechanized Infantry Companies are required, although this was also bound by budget as the Philippine Army originally wanted more. Originally, the Philippine Army's request for Horizon 2 was for 114 wheeled APCs, but while this was being negotiated, the Battle of Marawi started in 2017 where the Philippine Army made an emergency request for 28 wheeled APCs.

With Horizon 2 phase approved in 2018 with just just less than half the budget compared to the original request submitted by the Armed Forces of the Philippines in 2017, the Wheeled APC together was among those that needed to be cut, with the Philippine Army agreeing to just go with 28 units.

Options:

Among the offers that were evaluated by the Philippine Army are the following vehicles:

1. Anoa 6x6 from Indonesia's PT Pindad, Its design was based on the French VAB from the late 1970s, which explains its dated design. The advantages of the Anoa is Pindad's willingness to do technology transfer, and investing in building armored vehicles in the Philippines through the GA Defense Industrial Estate in Bataan.

2. Pandur II 6x6 from Czech Republic's Excalibur Army. The original design made by Steyr-Daimler-Puch of of Austria, the company has been absorbed by General Dynamics European Land Systems (GDELS). But it appears that Czechia's Excalibur Army, a part of the Czechoslovak Group, has the license to build and sell the Pandur II's 6x6 version, while GDELS continue to hold on to the 8x8 variant.

3. Arma 6x6 from Turkey's Otokar, It is an interesting design and has potential, as Bahrain and the United Arab Emirates selected it despite its country of origin, Turkey, not using it.

4. Pars III 6x6 from Turkey's FNSS, is the more successful design and model from Turkey than its competitor from Otokar. Said to be one of the best designs in terms of protection compared to its other competitors, the Pars family is used by the Turkish Land Forces, the Malaysian Army, and the Royal Omani Army.

5. Guarani 6x6 from Italy's IVECO, through Israel's Elbit Systems. The design was developed jointly by IVECO and the Brazilian Army for its URUTU-III program. The design was also adapted by IVECO for its SuperAV 8x8, which eventually was selected by the US Marine Corps for its Amphibious Combat Vehicle program to complement and eventually replace the BAE AAV7A1 as the USMC's foremost amphibious assault vehicle. Elbit's major participation in the URUTU-III program may have led to it being offered to the Philippine Army.

6. Tigon 6x6 from South Korea's Hanwha Defense. The design was meant for the export market, with Malaysia being the target initial buyer. Hanwha is actively looking for an export market for the type, as the Republic of Korea Army has adapted its competitor from Samsung Techwin, the K806, as its standard wheeled 6x6 APC.

Each of the vehicles have different characteristics although they have their set of positive and negative components.

The Arma 6x6 and the Tigon 6x6 may have issues on meeting the requirements of the Revised AFP Modernization Act, as it is not yet in service with the country of origin (South Korea), nor at least 2 other foreign countries.

In the case of Arma 6x6, it is not in service with the Turkish security forces although it is in service with the Royal Bahraini Army.

It remains to be seen though if Hanwha Systems was willing to invest in local assembly or production of the Tigon, should it be selected, as like what Pindad offered if the PA selects the Anoa (and by extension, the Harimau medium tank).

Due to it being more of a Brazilian vehicle rather than Italian despite IVECO being the main designer, the Guarani will not have issues meet the same requirement as it is already in use with the Brazilian Army, the Argentine Army, and the Lebanese Army, in addition to the US Marine Corps ordering the SuperAV 8x8 as part of the Amphibious Combat Vehicle project.

Excalibur Army was said to have offered the most numerous in terms of quantity, offering more than 28 units of their Pandur II 6x6 due to the cheaper price it submitted to the DND.

Relation to Light Tank Acquisition Project:

MaxDefense was informed by sources that the Philippine Army might intend to award the Wheeled APC project to the same winning contractor for the Light Tank project.

This gives Elbit Systems, Hanwha Defense and Otokar, and PT Pindad at an advantage over the other competitors like Excalibur Army and FNSS.

The project is expected to be awarded by 2020.

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17 December 2019:

Preparations are underway for the Armed Forces of the Philippines Founding Anniversary Celebrations as the AFP display their assets at AFP GHQ in Camp Aguinaldo.

And with all the new and old equipment the AFP is displaying, one has to look for "Mt. Apo" and "Kamagong" - which are the names painted on the Pindad-FNSS Harimau medium tank and Pindad Anoa wheeled APC, respectively.

Both vehicles arrived with Indonesian Army paint scheme. And now they are painted in the new Philippine Army green scheme which begs the question: are these vehicles donated already by PT Pindad to the Philippine Army to go around the procurement rules wherein the vehicles should be in service with the country of origin or at least two other countries?

If the Philippines accepts the vehicles and commissions them, technically Pindad only needs one more country to do the same move. So far Bangladesh and Brunei are interested jn the Harimau too, while the Anoa is in service with the Indonesian Army so its not affected by the procurement rules.

In the end, MaxDefense got confirmation from Army sources that the vehicles were not donated to the Philippine Army, but were just painted for show. Eventually they will be returning to Indonesia.

The Pindad Harimau medium tank and Anoa wheeled APC were displayed in the AFP's anniversary display at Camp Aguinaldo. Credits to our contributors for these photos.

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19 December 2019:

Here's a clearer photo of the Anoa as displayed during the AFP's founding anniversary display.

Thanks to one of our community member for sharing this to us.

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03 March 2020:

MaxDefense received information that the Philippine Army has already selected the winning proponent for the Wheeled APC project, which would be acquired through G2G procurement process rather than through public bidding.

To make things simpler, the Philippine Army Technical Working Group (TWG) decided that the Wheeled APC Acquisition Project should be closely tied to the Light Tank Acquisition Project due to the offers having relations to each other, in terms on specific subsystems.

Based on the 6 offers made for the Wheeled APC project, we can compare it to the offers made for the Light Tank Acquisition Project which includes the following:

1. PT Pindad with the Harimau Medium Tank,

2 Hanwha Systems - Otokar Joint Venture with the Hanwha K21-105 light tank and Otokar Arma 105 8x8 wheeled tank,

3. Elbit Systems - GDELS venture with the GDELS ASCOD 2 MMBT and GDELS Pandur II 8x8 wheeled tank.

Since FNSS did not join the Light Tank project, it is likely that they won't be selected for the Wheeled APC project.

The possibility of Excalibur Army winning the Wheeled APC is possible due to its commonality with the Pandur II 8x8 offered by Elbit Systems on the Light Tank project. But since Elbit is offering the Guarani 6x6 for the Wheeled APC, there could conflict on the commonality that could have been solved by offering a single common wheeled platform.

With both Hanwha and Otokar in a joint venture for the Light Tank, then offering their own products for the Wheeled APC, this could be an interesting arrangement. Its possible that Hanwha could work with Otokar on subsystems commonality with the Light Tank offers, even if the Tigon loses in favor of the Arma.

Nonetheless, this arrangement has made it easier for Elbit Systems, Hanwha and Otokar, and Pindad to win the project, while making it difficult for FNSS.

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14 October 2020:

Based on the DND's statements and presentation during the DND Budget Senate Hearing chaired by Sen. Panfilo Lacson, the DND has confirmed the initial funding for the Wheeled APC project, worth Php339,780,000.00 or around 15% of the approved budget for contract (ABC).

With the DND questioned about its ability to absorb and use the budget given to them to implement the AFP Modernization Program, it is expected that they would finish the pre-procurement process for this project and award it to the winning proponent soon.

A little blurred but this came from the DND's Senate presentation. MaxDefense has the clear copy but was asked not to share it, so we can read the information written there.

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17 October 2020:

We have posted a new video in our Youtube channel, as we briefly report on the impending awarding of the Wheeled APC Acquisition Project, as well as the options evaluated to meet the project's requirement.

The video discusses some of the items already posted in this resource page, and reinforces the new information from the past week that pertains to this project.

We ask our readers to please support our new Youtube channel by subscribing and sharing our videos.

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21 October 2020:

The Department of Budget and Management (DBM) has released a SARO (SARO-BMB-D-20-0017340) dated 19 October 2020, and released on 21 October 2020, worth Php339,780,000.00 for the initial payment 15% of the contract price.

This would support the release of the Contract and Notice to Proceed (NTP) to start the actual obligations of Elbit Systems Land & C4I.

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23 October 2020:

Finally, MaxDefense Philippines confirmed the issuance of a Notice of Award (NOA) for the Wheeled Armored Personnel Carrier Acquisition Project in favour of Elbit Systems Land & C4I, which was said to have been awarded by the Department of National Defense several weeks ago.

With the DBM already releasing the initial funding requirements worth 15% of the project contract cost, it is only a matter of time for the DND to sign a contract with Elbit Systems Land & C4I, and provide the Notice to Proceed (NTP) to start the contract obligations.

Please see our updated Project Summary at the near top of this resource page.

MaxDefense's blog entry can be accessed on the link below:

"Philippine Army's Light Tank and Wheeled APC Projects awarded to Israel's Elbit Systems" - first posted on 23 October 2020.

Meanwhile, Philippine Defense Resource released its own Youtube video, summarizing the milestone reached for the project, which can be seen below.

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08 February 2021:

Elbit Systems confirmed in a press release on 07 February 2021 that they were awarded a 3-year, US$46 million contract to supply VBTP 6x6 armored personnel carriers to an unnamed Asia-Pacific army.

Obviously this is pertaining to the Philippine Army, which selected Elbit Systems’ offer to supply the Iveco VBTP-MP Guarani 6x6 wheeled APC together with subsystems from the company.

It would be remembered that our parent page MaxDefense Philippines reported on October 2020 that the Department of National Defense (DND) has released a Notice of Award (NOA) in favour of Elbit Systems as the winning proponent for the Philippine Army’s Wheeled APC Acquisition Project.

Elbit Systems confirmed that they will include turrets, electric drive and stabilisation systems, fire control systems, TORCH-X Battlefield Management Systems (BMS), E-Lynx software defined radio (SDR) systems, gunner and commander sights and life support systems.

While it was not mentioned, the contract was actually covered by a Government-to-Government (G2G) deal between the Philippines DND and Israel’s Ministry of Defense’s International Defense Cooperation Directorate (MOD-SIBAT).

This is a major milestone for the project, which has been in discussion between both sides since 2019.

Photo credits to Elbit Systems.

Interesting note will be on the weapon system. Previously we mentioned that although Remote Controlled Weapon System (RCWS) could be possible, chances are the vehicle would only have a manned turret or a protected canopy with 7.62mm or 12.7mm machine guns.

The photo of the VBTP above, as posted by Elbit Systems, appears to show a 1-man manned turret equipped with either 2 machine guns or 1 machine gun and 1 40mm automatic grenade launcher, plus multiple smoke grenade launchers for protection.

We'll keep readers posted on further updates on this project, considering it is a 3-year contract that might see us wait for its completion by 2024. But we are expecting delivery of the 1st batch of vehicles by 2022,

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03 May 2021:

The Department of Budget and Management (DBM) has released funding under SARO-BMB-D-21-0001613 worth Php792,820,000.00 dated 16 April 2021 and released on the same day. This amount covers for the 2nd of 3 Multi Year Contract Contractual Authority (MYCA) budget allocations for the Wheeled Armored Personnel Carrier Acquisition project.

This means that the project continues to proceed as plan, after being awarded to Elbit Systems Land C4I in 2020.

It remains though if the project will proceed with the planned delivery of the initial batch by early 2022, and complete delivery by 2023 will still proceed.

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06 September 2021:

The IVECO VBTP-MR Guarani 6x6 wheeled armored vehicle shows its amphibious capabilities, this example with the Brazilian Army.

The Guarani was actually the basis for the new Amphibious Combat Vehicle being procured by the US Marine Corps, which was based on the IVECO SuperAV, itself an 8x8 enlarged version of the Guarani.

The Philippine Army is expected the delivery of 28 such vehicles, acquired under the Wheeled Armored Personnel Carrier Acquisition Project, awarded to Elbit Systems Land & C4I which will integrate Elbit subsystems into the IVECO Guarani vehicle.

It remains to be seen if the Philippine Army will order more Guarani APCs in the future, as the type could be a potential replacement to the Philippine Army's ageing fleet of Cadillac Gage V-150 Commando 4x4 armored vehicles.

Photo of a Brazilian Army Guarani 6x6 AV conducting amphibious testing over a river or lake. Photo credits to Brazilian Army.

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08 May 2022:

As of November 2021, Iveco Defense Vehicles Latin America (IDV LATAM) has confirmed that it completed the production of 500 VBTP-MR Guarani 6x6 armored vehicles for the Brazilian Army, and has started production of the vehicles for the Philippine Army.

It means that by now, several of the vehicles bound for the Philippine Army might already be completed, and ready for handover to Elbit Systems to do the final integration of Philippine-specified equipment including the weapons, communications, and battlefield management systems.

The VBTP-MR Guarani 6x6 armored vehicle will be supplied by Elbit Systems to the Philippine Army under its Wheeled Armored Personnel Carrier Acquisition Project.

One of the VBTP-MR Guarani 6x6 armored vehicles for the Brazilian Army. Photo credits to Technologia & Defesa.

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08 May 2023:

Philippine Army's Armor Division commander Maj. Gen. Facundo Palafox IV mentioned in a media interview lately that they will be receiving 28 6x6 wheeled armored personnel carriers armed with 25mm cannons by 2024.

He was obviously referring to the VBTP-MR Guarani 6x6 wheeled APCs being supplied by Israel's Elbit Systems in cooperation with Italian-Brazilian venture IVECO LATAM under the PA's Wheeled APC Acquisition Project.

Previously MaxDefense PH has reported that the APCs will be coming with only 12.7mm heavy machine gun mounts and not medium caliber guns like 25mm cannon. So we welcome the update from MGen. Palafox.

But we have some reservations on this as our previous info came from the Terms of Reference of the project, which is part of the project's contract.

The only possibilities we see on the upgrade of weapons from 12.7mm heavy MGs to 25mm cannon could be due to variation order from the DND & Philippine Army, or if Elbit Systems is upgrading its offer on its own goodwill.

So far, the latest photo we got and shared by one of our community member from the recently-concluded LAAD Defense & Security Expo 2023 of what appears to be one of the Philippines-bound Guarani 6x6 APC has a 12.7mm heavy machine gun mount on an Ares REMAN manned protected turret, which supports the earlier information we have.

FYI, Ares is the Brazilian subsidiary of Elbit Systems

Again, this can be subject to changes so we are also hoping that a 25mm cannon will be used on the Philippine Guaranis instead.

Top photo of Guarani vehicle credits to NichoConcu@Twitter, above photo of REMAN turret credits to Shephard Media.

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01 July 2022:

First photos of the VBTP-MR Guarani 6x6 armored personnel carriers bound for the Philippine Army, as five units were said to have been handed over by IVECO Latin America to Elbit Systems for integration of Elbit-supplied equipment.

The 5 vehicles are expected to be delivered to the Philippines soon. It remains to be seen if the integration of Elbit-supplied systems will be made in the Philippines (as what was done on upgraded M113s) or in Brazil (through Elbit's Brazilian subsidiary Ares Aerospace and Defense). But definitely it won't need to be shipped to Israel anymore.

Photo credits to IVECO LatAm.

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08 May 2023:

Previously MaxDefense PH has reported that the APCs will be coming with only 12.7mm heavy machine gun mounts and not medium caliber guns like 25mm cannon. So we welcome the update from MGen. Palafox.

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26 February 2023:

There are reports from Brazil indicating that Germany vetoed the export of Iveco LATAM's Guarani 6x6 wheeled armored personnel carriers to the Philippines.

It would be remembered that recently, MaxDefense Philippines dismissed such report since Germany did allow the export of more advanced German defense technology to the Philippines in the recent past.

It turns out that based on the Brazilian reports, the veto was nothing to do between Germany and the Philippines, but more of an issue between Germany and Brazil.

It is believed that the veto was Germany's retaliation against Brazil for its refusal to provide 35mm ammunition to Ukraine to arm its German-donated Gepard air defense gun systems which is now encountering ammunition supply issues due to Germany's inability to produce such ammunition in bulk.

This also means that the veto will affect not just the order for the Philippines, but also those for Ghana, as well as potential orders from Argentina and Malaysia.

The issue is becoming similar to what the Philippine Air Force had with its procurement of T129B ATAK attack helicopters from Turkey, wherein an issue between Turkey and the United States halted the export of American-made LHTEC engines to Turkey, affecting the Philippine order.

It now remains to be seen what Brazil and Germany will do, considering US President Joe Biden talking to Brazilian President Lula da Silva about the situation in Ukraine, and its recent United Nations vote against Russia's invasion of Ukraine which may also lead to the opening of Brazilian production of 35mm ammunition for Ukraine's Gepard air defense vehicles.

Since Elbit Systems is the main contractor of the Philippine Army's Wheeled APC Acquisition Project, they will be the one in charge of talking to the Philippine side.

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28 September 2023:

A Brazilian defense page reported that Germany already lifted an export ban for German-made systems including Brazilian-made Iveco Guarani 6x6 armored vehicles that were bound for delivery to the Philippines.

5 vehicles would be shipped out of Brazil in the coming weeks, while the 23 other vehicles are in different state of manufacturing and will be delivered immediately.

It would be remembered that Israel's Elbit Systems won a contract to supply 28 6x6 wheeled armored personnel carriers, with Iveco Latin America's Guarani 6x6 armored vehicle selected by Elbit Systems due to their cooperation in its development and delivery for the Brazilian Army.

Among those listed as German components on Guarani 6x6 APCs are the following:

* Ballistic steel, produced by ThyssenKrupp Steel Europe AG;

* Anti-mine ballistic protection plates, produced by Rheinmetall Protection Systems GmbH (formerly IBD Deisenroth Engineering);

* Periscopes, models M17 (driver) and M45 (commander), produced by GuS glass + safety GmbH & Co;

* CV axle shafts, produced by GKN Driveline Deutschland GmbH;

* Transmission, model 6HP 602S, produced by ZF Friedrichshafen AG;

* Cooling system fan (FAN), model Behr Y2991001, produced by MAHLE GmbH.

Germany's export ban on Brazilian-made products with significant German content was earlier reported as a retaliation against Brazil due to the latter's lack of cooperation on selling 35mm ammunition for the Oerlikon GDF autocannons for Ukraine's fleet of Flakpanzer Gepard self-propelled anti-aircraft gun systems.

But the report from Brazil says that the Philippines was the actual target of the export ban due to Human Rights issues during the time of former Pres. Duterte.

This is surprising since Germany sold Diehl Defense AIM-9L/I-1 Sidewinder missiles, Hensoldt TRS-3D and Sharpeye radars, and many other weapon systems and components to the Philippines during the term of former Pres. Duterte.

Diehl Defense is even actively marketing its IRIS-T surface to air missile system to the Philippines for Horizon 3 requirements.

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31 October 2023:

First batch of IVECO Latin America Guarani 6x6 armored personnel carriers are now on the way to the Philippines from Brazil.

As per the report of Brazilian defense page Technologia & Defesa, the first 5 vehicles were seen at the Port of Santos in Brazil embarking on a commercial cargo ship bound for the Philippines. The vehicles are expected to arrive by mid-December 2023, which means the ship may need to stop somewhere first before reaching the Philippines.

The report also said the rest of the vehicles are expected to be delivered to the Philippine Army before the end of 2024, and that another batch of 28 vehicles are being negotiated between the Philippines and Brazil.

The vehicles are expected to be assigned with the Armor Division, but will be attached to the Brigade Combat Teams, which means the next 28 vehicles would be for the soon to be established 2nd or 3rd BCT.

More on the report from Technologia & Defesa, thanks to the page's editor and MaxDefense community member Paulo Roberto Bastos Jr for the advanced information.

All photos credits to Tecnologia & Defesa through its editor Paulo Roberto Bastos Jr.

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19 February 2024:

The first batch of 5 Guarani 6x6 armored personnel carriers have arrived in the Philippines and are seen in the photo below as it arrived at a port in Luzon, and being unloaded, believed to be in Camp O'Donnell in Capas, Tarlac.

Integration of Elbit Systems' products including the RCWS, the Torch-X battlefield management system, and E-Lynx software defined radios are expected to be done in the Philippines by the Armor Division' under supervision by Elbit Systems..

The DND ordered 28 Guarani 6x6 APCs from Elbit Systems, and the rest of the order are expected to arrive in the Philippines before the end of the year.

These vehicles are assigned with the Philippine Army's Armor Division although they are expected to be attached with the strategic 1st Brigade Combat Team.

Photo credits to all original sources.

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06 March 2024:

On 05 March 2024, the Philippine Army's Armor Division formally received and inducted the first 9 ASCOD 2 Sabrah light tanks, 1 ASCOD 2 Command Vehicle, 5 Guarani 6x6 armored personnel carriers, and 1 tractor head truck from Israeli defense company Elbit Systems as part of the Light Tank and Wheeled APC Acquisition Projects of the Philippine Army.

These are part of the Horizon 2 Priority Phase of the Revised AFP Modernization Program.

The PA Armor Division also formally unveiled its newly constructed facilities in Camp O'Donnell including a Maintenance Depot Facility for the Guarani 6x6 APCs, Mess Hall, and Armor Museum.