Otokar has reached a critical milestone in its 1,059-unit COBRA II armored vehicle contract with Romania. The agreement represents the largest single-batch armored land vehicle export in the history of the Turkish defense industry. While deliveries continue as planned, the company is simultaneously establishing a local production infrastructure in Romania to support the long-term sustainability of the program. The €857 million 4x4 Tactical Wheeled Light Armored Vehicle Procurement Project is being managed by C.N. Romtehnica S.A., a company affiliated with the Romanian Ministry of National Defence.

Under the contract, 240 COBRA II vehicles have already been delivered. The first phase, consisting of 276 vehicles, is expected to be completed within this month. According to Otokar General Manager Aykut Özüner, trial production at the Romanian facility will begin in the second quarter of the year, followed by full-scale serial production. Subsequent deliveries will be carried out directly from the local production line in Romania, marking a major transition in the program.

As part of its localization strategy, Otokar has initiated contract negotiations to acquire 96.77% of Automecanica SA for approximately €85 million. The Mediaș-based facility will enable Otokar to become a defense company that manufactures armored vehicles within the European Union under its own ownership. The acquisition is expected to be finalized in April. This move aligns with Otokar’s broader global expansion strategy and strengthens its ambition to play a more active role in EU defense programs.

During the project, Otokar faced payment claims totaling approximately 1.952 billion and 2.326 billion Turkish lira, based on allegations that interim milestones related to local production preparations were not completed on time. However, company officials emphasized that there are currently no delays in production readiness and that all obligations have been fulfilled. Özüner noted that such disputes can occur in large-scale international defense projects and confirmed that constructive dialogue with Romanian authorities continues.

Beyond vehicle deliveries, Otokar has committed to establishing a modern production infrastructure in Romania that meets NATO standards. This investment will enhance Romania’s local defense manufacturing capabilities while positioning Otokar as a stronger candidate in European military supply chains. The Romania project is expected to reinforce the company’s international track record, including ongoing programs in the United Arab Emirates and Estonia, further solidifying its role as a global defense industry player.