European Commission investigates Romania for acquisition of Piranha V vehicles from General Dynamics

by Romanian Reporter - Friday, November 13, 2020 1:40 PM

European Commission investigates Romania for acquisition of Piranha V vehicles from General Dynamics

The European Commission informed the Romanian Ministry of Foreign Affairs about a new pilot procedure to investigate the purchase of Mowag Piranha V Infantry Fighting Vehicles (IFV) from General Dynamics.

In this regard, the Directorate-General for Defence Industry and Space (DEFIS) has requested several documents concerning the Piranha V deal, through which the Ministry of National Defence contracted 227 of 8x8 transporters with a total value of €868 million.

In 2017 the Romanian Government, led at that time by the PM Mihai Tudose, issued the Government Decision 852/2017 which regulated the direct acquisition of the IFVs from the Swiss subsidiary of the American company General Dynamics, with a derogation from article 346 of the Treaty on the Functioning of the European Union, which stipulates that "any Member State may take such measures as it considers necessary for the protection of the essential interests of its security which are connected with the production of or trade in arms, munitions and war material; such measures shall not adversely affect the conditions of competition in the internal market regarding products which are not intended for specifically military purposes".

In the first year (2018), the company GDELS (General Dynamics European Land Systems) was supposed to deliver the first batch, consisting of 36 vehicles, out of which 6 to be manufactured and assembled at Bucharest Mechanical Factory (Uzina Mecanica Bucuresti), a subsidiary of the Romanian state-owned defense company ROMARM. The delivery of those vehicles has not started until June 2020.

The 8x8 Piranha V is the latest model of the widely used wheeled armored vehicles series developed by GDELS-Mowag. Denmark was the first country to use Piranha V beginning in 2017, followed by Spain and Switzerland, and now Romania. According to the contract signed on January 12, 2018, almost 200 will be produced in Romania at the ROMARM factory.

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Photo: GDELS

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