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DSEI 2025: As more possible CV90 orders loom, BAE Systems confident on production rates

12th September 2025 - 09:30 GMT | by Peter Magill, Christopher F Foss in London, UK

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An upgraded Dutch CV90 at DSEI 2025 showing two launchers for Elbit Iron Fist active protection system and twin launchers for anti-tank missiles in raised position. (Photo: Shephard)

The company is investing in increasing production while major subcontractors also push to keep up with demand, with Sweden’s recent Request for Information potentially adding another 500 to the order book.

BAE Systems Hägglunds is looking to find ways to keep up with demand for its CV90 infantry fighting vehicle (IFV) as orders roll in and countries also look to replace older vehicles donated to Ukraine.

Peter Nygen, head of business development at BAE Systems Hägglunds, told Shephard that the company is already investing US$300 million in new production facilities and equipment.

The investment is to meet the massive increases in production required for not only the CV90 IFV and variants, but also for the BvS10 armoured all-terrain vehicle (ATV).

CV90 revels in northern exposure while looking for new customers (updated April 2025)

CV90 user group signs agreement to improve procurement and commonality

Is the CV90 too popular for its own good?

Today, the CV90 order book is around 1,900 under contract with 1,300 delivered. Production is expected to ramp up to around 250 a year by 2026 by using not only the additional facilities at the main BAE Systems Hägglunds site in Sweden, but by using production facilities of other members of the CV90 User Club.

Nygen added: “We are focusing on fast deliveries and that joint procurement, as already received for the latest CV90 and BvS10 contracts, is the way ahead.”

An example is the joint procurement of the BvS10 ATV for 436 units to meet the requirements of Germany, Sweden and the UK which has more recently been increased to 660 units.

Shephard understands that in January 2024, the company had sufficient orders to be at maximum capacity until 2030. Following a meeting with Nordic CV90 users, who requested more CV90s, the company increased production capacity by 400% to ensure they could also supply the newly ordered vehicles in the same timeframe.

More orders placed, more orders possible

The most recent contracts for CV90s have been placed by Slovakia, which has ordered 122 with a total value of US$1.37 billion via a government-to-government deal.

This was followed by the Czech Republic placing a contract for 246 CV90s under a $2.2 billion contract.

CV90 sub-contractors are also increasing their production capability to meet the requirements of BAE Systems Hägglunds. These include Swedish Steel for armour, Soucy International for composite rubber tracks, SAAB for sighting systems, Northrop Grumman for main armament, Scania for the engine and Caterpillar/Allison for the automatic transmission.

The Swedish Defence Material Administration (FMV) has just issued a request for information (RFI) for 500 new IFV to replace the bulk of the Swedish Army’s remaining CV9040, some of which have already been sent to Ukraine.

It is expected that a number of contractors will respond to this RFI including BAE Systems Hägglunds as well as Rheinmetall with the Lynx IFV, which has already been ordered by Hungary. The first batch of these Lynx are coming from Germany and local production is now underway in Hungary.

BAE Systems Hägglunds has a proven track record and in recent years around 90% of production has been for the export market with more than 3,000 armoured vehicles and 12,000 ATV delivered to home and export customers.

Shephard’s DSEI 2025 coverage is sponsored by: