High Costs Could Derail India's Local Manufacturing Plans for Stryker Armored Vehicles

India's ambitious plan to jointly produce Stryker armored vehicles under the 'Make in India' initiative is facing a significant hurdle due to the steep estimated cost. Sources suggest that the initial cost of the project could exceed $1.5 billion, with each unit carrying a substantial $5 million markup.

A key element of the deal involves a transfer of technology (ToT) from the United States, facilitating local production and assembly of the vehicles. This includes transferring technical documentation for medium-term production of spare parts and assembling vehicles from the hull stage.

The initial order is expected to encompass around 300 units, spanning different Stryker variants, reflecting the Indian Army's commitment to modernizing its fleet. The potential for future orders and variant expansions remains high, contingent on the success of the initial batch. However, concerns about the high cost of the project have raised questions about its feasibility.

Additional factors contributing to the cost include a request from the Indian Army for more powerful engines, a necessity for enhanced performance in diverse terrains.

The Army's procurement plan also includes various specialized variants like command vehicles, medical evacuation vehicles, NBC reconnaissance vehicles, and infantry carrier vehicles equipped with a 30mm cannon.

 

[aditya jhaveri]

The fact that the opposition raised a hue and cry over Rafale but not over this deal means that they are complicit with the American arms lobby.

 

[Apocalypse gupta]

We can learn lots from the stryker deal ToT. Stryker is famous for being modular. Such as air defence version, anti tank version, tank destroyer version etc. We have tried doing our own modular stuff, with BMP2 and arjun chassis, but I dont know where we are with that

 

[ramdas]

IA is not entirely happy with the WHAP, even though it was produced in small numbers. There hasn't been much progress in the indigenous development of WHAP.

 

[Mithu Roy]

This can be made by Indian companies easily since it's a combination of Cummins engine and Allison transmission.
rest are just add ons.
we need Bharat Power packs and corresponding transmission to be Fully indigenous and government needs to make such engines and transmission

 

[Satya Dev]

High costs? The Stryker costs almost double of WhAP!

 

[War is good for business]

The fact that the opposition raised a hue and cry over Rafale but not over this deal means that they are complicit with the American arms lobby.

Has this deal been signed? Why should opposition raise something which is still being considered. If they did then you would also criticise them as why are they shouting over something that doesn't exist.

 

[War is good for business]

High costs? The Stryker costs almost double of WhAP!

Only Tata and Mahindra WhAPs should be acquired. Why not buy something that is available locally.

 

[Vijay Anand]

We can learn lots from the stryker deal ToT. Stryker is famous for being modular. Such as air defence version, anti tank version, tank destroyer version etc. We have tried doing our own modular stuff, with BMP2 and arjun chassis, but I dont know where we are with that

Recently some BMP was wielding an ATGM for anti-tank role and there was an article 2-3 days ago I believe. It has got multiple upgrades as well since a long time.
We can't expect to be very modular as it wasn't designed that way, but our military is doing great Jugaad though 😁

 

[abhinav srivastava]

If you have to appease US for getting 80% tech for GE engines then buy something that we need and we can't produce in even in a decade. Get more P8is. WHAPs are desi platforms, they must be procured instead of strykers.

 

[Apocalypse gupta]

Recently some BMP was wielding an ATGM for anti-tank role and there was an article 2-3 days ago I believe. It has got multiple upgrades as well since a long time.
We can't expect to be very modular as it wasn't designed that way, but our military is doing great Jugaad though 😁

This modularity is latest tech. Even british armored vehicles and germany armored vehicles are going for this modular approach. We are far behind. Next gemeration of armored vehicles need to keep modularity in mind from design phase.

 

[Vijay Anand]

High costs? The Stryker costs almost double of WhAP!

And its not price alone, even if we acquire these platforms, they'll make a hue and cry if we use them according to our necessity coz they expect us to take their "permissions". I wonder if they'll start again the dram of "religious freedom" if we deploy at Punjab or Kashmir relating it to Khalistan and Muzzzies respectively

And well US can't be trusted either...

 

[Kira]

I get that the IA may want a few hundred of them to plug the gaps in its armoured deployment and mobility issues on Northern borders as the Stryker is a proven platform,but I don't think they should jeopardize both WhAp and other domestic options where they have already passed stringent trials and are already being inducted in the services.

 

[NSR]

Anything and everything American is very expensive as they manufacture on USA cost basis system.

India must go with its own domestic private and public APCs, IFVs, WhAPs, armored tranports, etc

India must also upgrade older Russian and Soviet era BMPs with new technology and engines.

Go with indigenous ones.

 

[Laughing Buddha]

Is the Kestral so inferior that the military has to opt for the Stryker?

 

[Sandeep]

So far India has never said with certainty that they will buy the Stryker vehicles. They have just said that they will look at the offer that the USA will provide based on the price, technology, ToT and amount of local production.

The USA aren’t going to transfer any critical technology that India wants like the engine, main canon gun, SAM, EW, radars, transmission etc and at best they will just give us a hull which we can make by ourselves anyway.

India isn’t going to buy any of these vehicles at all as we are investing in producing our own indigenous IFV which we can do. We have made a lot of progress in developing the TATA Kestrel, Abhay, Mahindra etc which meet the military requirements. They are currently developing a main turret that increases our fire power, technology and safety.

 

[Sandeep]

If you have to appease US for getting 80% tech for GE engines then buy something that we need and we can't produce in even in a decade. Get more P8is. WHAPs are desi platforms, they must be procured instead of strykers.

India isn’t appeasing them with buying Stryker vehicles at all just to get 80% of technology from the GE F414 engines.

 

[Sandeep]

IA is not entirely happy with the WHAP, even though it was produced in small numbers. There hasn't been much progress in the indigenous development of WHAP.

They have the TATA Kestrel. The main issue is developing a brand new main turret with a main canon gun, remote machine gun, ATGM launcher and other add ons

 

[Sandeep]

We can learn lots from the stryker deal ToT. Stryker is famous for being modular. Such as air defence version, anti tank version, tank destroyer version etc. We have tried doing our own modular stuff, with BMP2 and arjun chassis, but I dont know where we are with that

No the USA won’t give any critical ToT and local production of critical technology like the engine, transmission, main canon gun, machine gun, EW, anti tank killer, ATGM etc. At best they will just give you the basic vehicle, tyres, suspension etc which are something that we can develop ourselves now.

 

[Sandeep]

The fact that the opposition raised a hue and cry over Rafale but not over this deal means that they are complicit with the American arms lobby.

India has never said that they will buy it. They just said that we will look at the offer the USA will provide. India won’t buy them anyway as we have already invested in our own indigenous IFV. The USA are only offering this vehicle because they are slowly going to retire them in favour of their new vehicle they are developing which will soon start production. They are selling their old technology and capabilities.

 

[wallisk]

Kestrel costs 25 millions and Stryker is 45 millions in usd! So, no point chasing make in India of USA weapons; other than Javelin MPATGM's. ALSO, Rafale-M deal of just under 40,000 crores inr for 26 jets comes to around 182+ millions usd per jet of Rafale F3R base equivalent jet. Therefore, Rafale F4.2 would be around 40 millions costlier i.e., around 220 millions usd each jet for direct purchases from France - Total for 114 nos. jets at 25 Billions usd! For make in India, it might be just under 30 Billions usd for 114 nos F4.2 jets I believe so very strongly...

 

[abhinav srivastava]

India isn’t appeasing them with buying Stryker vehicles at all just to get 80% of technology from the GE F414 engines.

Will be happy if India doesn't buy them.

 

[M S Chatterji]

Too pricey at $5 million a piece.

 

[PKPRS]

Too pricey at $5 million a piece.

Better than paying $10Bln for buying only 36 Rafale’s and paying $7Bln for only 22 Rafale M and 4 used Rafale’s, paying a whopping $17Bln to get only 62 jets, nothing can beat this idiocracy.

 

[Anant]

Better than paying $10Bln for buying only 36 Rafale’s and paying $7Bln for only 22 Rafale M and 4 used Rafale’s, paying a whopping $17Bln to get only 62 jets, nothing can beat this idiocracy.

There you go with those incorrect numbers again. The Rafale deal for the IAF was at 7.8 billion Euros for 36 aircraft plus 18 options, which were not exercised. As on the date the contract was signed (23 September 2016), the Euro to USD conversion rate shows that the whole deal came to just shy of 8.75 billion USD, not 10 billion (note that these are 2016 numbers). The number only crosses 10 billion USD if you adjust it to 2024. Large numbers of weapons and spares were included in that deal. Moreover, a part of that contract value would have been set aside for the options as well, and when the options were not exercised, this money would have been refunded or adjusted in payments.

Secondly, coming to the proposed acquisition of Rafale Ms for the Navy, you have never actually provided any source which actually states that the 4 Rafale trainers will be second-hand aircraft. As such, that is a nonsensical claim made by you. As it is, France is very much against selling second-hand Rafales to anyone, simply because there are nations willing to buy such aircraft on the cheap, and this has the potential to seriously impact the French Air and Space Force's availability numbers for another 3-4 years if the jets are sold.

More importantly, you have just pulled out that 7 billion USD figure out of thin air without any justification. If you bother to follow news, there have been reports that the base price for the 26 Rafale Ms is to be around 4 billion Euros, or 4.28 billion USD as per today's rates. Of course, ISEs and the like will increase that number, but it will almost certainly not reach 7 billion. Maybe 5.5-ish billion, but the final number is not going to touch 7 billion. Oh, and that number includes spares and weapons.

All I will say is this: Cool your jets. Calm down, and please don't spread information that isn't backed up by data or sources.