ORD PABAC2 003-01-2021 Truck Troop Carrier, Light Acquisition Project of the Philippine Army
The Philippine Army has raised a requirement for 90 new Light Troop Carrier Trucks that would be acquired through the Philippine Army's Government Appropriations Act (GAA) funding under Fiscal Year 2021.
This is not one of the usual truck procurement projects of the Philippine Army that were included in the AFP Modernization Program, but instead would be procured using its own annual funding.
Since the trucks are non-standard models, it is highly possible that the trucks would be used by a specific unit rather than distributing them to combat units which are already using the standard M35 and KM250 6x6 2 1/2-ton troop carrier trucks.
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| The GAZ Sadko classic. Photo credits to original sources. |
Project Summary:
Trucks Troop Carrier, Light Acquisition Project:
Note: Edited as of 12 February 2022.
* Project Number: ORD PABAC2 003-01-2021
* End User: Philippine Army (multiple units)
* Quantity: 90 units
* Modernization Phase: GAA 2021 Procurement Projects of the Philippine Army
* Project ABC: Php324,000,000.00
* Acquisition Mode: Public Bidding
* Source of Funding: Government Appropriations Act (GAA) 2021 funding of the Philippine Army
* SARO Release/s: TBA
* Winning Proponent: Conequip Philippines Inc.
* Product for Delivery: GAZ Sadko 4x4 trucks
* Contract Price: Php202,905,000.00
* First post by MaxDefense: 08 May 2021
* MaxDefense Searching Hashtag: #PATrucksTroopCarrierLight2021Acquisition
* Status: Project was implemented through Public Bidding, with SOBE held on 11 January 2021. Conequip Philippines was declared the Lowest Calculated and Responsive Bidder. MaxDefense PH believes truck to be supplied is GAZ Sadko based on the unit price of Php2,254,000.00 per truck, which is cheaper than the unit price for the GAZ Sadko supplied to the PNP-Special Action Force in 2019 @ Php3,220,000.00 each. DND confirmed the trucks will be delivered to the Philippine Army within 180 days from NTP release. As of February 2022, some of the trucks are seen with Philippine Army's ASCOM awaiting for distribution.
Overview:
The project to acquire 90 new trucks through public tender and by using the Philippine Army's own annual operating budget is something new for the Philippine Army.
This is due to most of its truck procurement done via the Philippine Army's Modernization Program, or through the AFP Modernization Program, and is usually acquired through Government-to-Government (G2G) process. In the past decade, most if not all new truck procurements were supplied by Kia Motors of South Korea in the form of the Kia KM-series trucks.
Currently, the Light Troop Carrier Truck of the Philippine Army is the Kia KM450 4x4 truck, which is a modernized version of the 1960s era M715 4x4 truck from the US.
There are a few potential reasons to believe why the Philippine Army decided to run a different procurement program for new Light Troop Carrier Trucks rather than order again from South Korea's Kia Motors:
1. The introduction of the Korea Light Tactical Vehicle (KLTV) to eventually replace the production of the KM450 truck for the Republic of Korea Army could be a potential problem to the continuous supply of KM450 trucks to the Philippine Army, and to the Armed Forces of the Philippines in general.
The KLTV is more of a light tactical vehicle similar to the AM General Humvee rather than a simple utility truck.
Based on Kia Motor's website for military trucks, the KM450 series is still there, so its replacement by the KLTV is not yet happening but will only happen in the near future.
2. The KLTV is more expensive than the KM450 that it is replacing. Based on the previous contract between the DND and the Korean Government on behalf of Kia Motors, the KM450 is priced at around Php3.15 million each.
According to MaxDefense PH sources, the KLTV is upward of Php4.5 million each.
Based on the project's details, the Philippine Army has budgeted around Php3.6 million for each truck, while conducting public tender for the acquisition.
3. The Philippine Army is urgently in need of new trucks, and procuring them through standard procurement process like Public Bidding would allow a quicker route.
In comparison:
We try to compare the new acquisition of Light Troop Carrier Trucks to previous acquisitions of the Philippine Army and other armed services of the Philippine government.
a. Kia KM450 truck - considered as Light Troop Carrier Truck per Horizon 2 phase of RAFPMP. Based on 2018 contract between DND and Korea Trade Investment Promotion Agency (KOTRA)
Php677,247,850.00 for 215 Kia KM450 trucks, or a unit rate of Php3,150,000.00 per unit.
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| Kia KM450 1 1/4-ton trucks used as armed troop carriers by the Philippine Army. |
b. Kia KM250 truck - considered as Medium Troop Carrier Truck per Horizon 2 phase of RAFPMP. Based on 2018 contract between DND and KOTRA.
Php1,859,984,500.00 for 310 Kia KM250 trucks, or a unit rate of Php6,000,000.00 per unit.
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| A Kia KM250 2 1/2-ton truck of the Philippine Army. Photo credits to Wikimedia Commons. |
c. GAZ Sadko truck - considered as Medium Troop Carrier Truck per procurement by the PNP Special Action Force. Based on 2019 contract between PNP-SAF and ConEquip Philippines.
Php119,128,800.00 for 37 GAZ Sadko 4x4 trucks, or a unit rate of Php3,220,000.00 per unit.
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| A GAZ Sadko 4x4 truck of the PNP Special Action Force. Photo credits to original source. |
d. Ural Next trucks - considered as Heavy Troop Carrier Truck per procurement by the PNP Special Action Force. Based on 2108 contract between the PNP-SAF and ConEquip Philippines.
Php85,575,000.00 for 10 Ural Next 42306 trucks, or a unit rate of Php8,557,500.00 per truck, although this includes 2 trucks modified into Command and Control trucks with airconditioned and fitted cabin.
That is far cheaper to the Kia KM450's year 2019 rate, or even the GAZ Sadko's year 2019 rate.
Project Awarding:
The project was awarded to ConEquip Philippines, which is the local distributor of GAZ and URAL brands of Russian trucks. The NOA was released in favor of ConEquip Philippines on 11 February 2021.
As of 30 May 2021, no confirmation onf Contract Signing, or release of Notice to Proceed (NTP) has been reported by the PhilGEPS website.
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| PhilGEPS reporting on status of the Philippine Army's Truck Troop Carrier Light Acquisition Project. Photo screengrabbed from PhilGEPS website. |
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U P D A T E S:
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30 May 2021:
The DND has released a statement discussing the acquisition of 90 trucks, which pertains to the Truck Troop Carrier, Light Acquisition Project of the Philippine Army for year 2021.
According to DND Spokesman Dir. Arsenio Andolong, "the trucks will boost the Army's capability to transport personnel and materiel wherever they are needed, whether it be in combat or humanitarian assistance and disaster response".
The DND mentioned that the trucks will be made by URAL, and will be delivered by ConEquip Philippines, which received the Notice of Award for the project on 11 February 2021.
The trucks would be delivered within 180 calendar days from receipt of Notice to Proceed (NTP) or Opening of Letter of Credit.
So far, it has not mentioned if the NTP has been released in favor of ConEquip Philippines.
Upon MaxDefense PH's check with PhilGEPS website as of 31 May 2021, there is no Contract signed yet between the Philippine Army and ConEquip Philippines.
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12 February 2022:
Based on the photos below, it appears that the Philippine Army is already in possession of the Russian-made trucks it ordered under one of its Light Truck Troop Carrier Acquisition Project, which are funded by the PA's annual GAA funds rather than the RAFPMP.
It would be remembered that the Philippine Army ordered 90 trucks from winning bidder ConEquip Philippines. This is purely a commercial project with no participation by the Russian Government. See our extension's resource page on the project below:
And like what we anticipated, the trucks are GAZ Sadko 4x4 trucks, contrary to Philippine Army and DND statements before that the trucks are from URAL.
Sadly, we were hoping for the new Sadko Next model to be delivered, but instead the Philippine Army received the older classic Sadko model, which we did not expect to be still in production despite the modernized new model being commercially available. This is expected considering the low unit cost of the trucks. Its too low to realistically afford the new Sadko Next with its modern engine, airconditioning, and updated tech and design.
📷 from MaxDefense Philippines contributor who wish to remain anonymous.
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02 une 2022:
Conequip Philippines posted some photos of the GAZ Sadko trucks, which they confirmed are bound for the Philippine Army.
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| Photo credits to GAZ Auto Industria by ConEquip. |
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01 July 2022:
The GAZ Sadko trucks of the Philippine Army debuted at the Military Parade during the inauguration of new President Ferdinand Marcos Jr., which is a sign that the vehicles have been distributed to its intended units.MaxDefense Philippines also received confirmation that the trucks were distributed to several front line units, which means a few trucks to each unit rather than a bulk of similar trucks serving a single or few units.
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| Photo screengrabbed from RTVM's video. |
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