Possible Streit Group military vehicle plant in Chile.

Representatives of the Streit Group, a Canadian armored vehicle manufacturer, have met with Chilean officials to present plans to build a manufacturing facility in Chile.

Streit Group "Varan" armored fighting vehicle (Picture source: Army Recognition)

Chile is in the early phases of studying an upgrade of its armored vehicle fleet. One possibility is replacing its current fleet with a fleet of new vehicles. Chile's armored vehicle fleet consists of Mowag Piranhas, M113A1 and A2s, and YPR-765s. Chile could purchase up to 300 new vehicles, mostly to replace its aging Piranhas. Chile recently completed a major acquisition of its tactical truck fleet through Project El Alfil and Project El Cahuelmo. Overall, Chile acquired 431 vehicles under the two programs.

If Chile does proceed with an acquisition, it would represent a major opportunity for armored vehicle manufacturers. Even if Chile decides to upgrade its Piranhas, Streit would be well positioned to bid on that contract as well since the company has experience working with the vehicle type. That is why Streit Group is moving to establish a relationship with Chilean officials. Streit officials plan to establish an alliance with Chilean firm Fábricas y Maestranzas del Ejército (Famae) that would cover co-production of the equipment.