ST Engineering makes foray into Central Asia with Kazakhstan defence vehicle contract

ST ENGINEERING’S international defence business has secured a strategic partnership with Kazakhstan Paramount Engineering (KPE) to set up production capabilities for a new military vehicle, the Singapore-based company said on Friday (Dec 6).

The amphibious multi-purpose armoured vehicle will be manufactured at KPE’s production facility in Kazakhstan. Its design and production will be based on ST Engineering’s field-tested Terrex Infantry Fighting Vehicle, which can operate and move effectively in “open water conditions” such as the sea.

ST Engineering will provide engineering and technical support for the construction of the vehicle, which begins in 2025.

Lim Kok Ann, president of ST Engineering’s land systems business, said the collaboration marks the company’s entry into the Central Asia market, as it is the group’s first contract to build a defence vehicle with a licensed partner in the region.

Previously, the company had a small commercial presence in Kazakhstan.

The partnership is part of ST Engineering’s international defence business’ strategy to pursue growth through localisation, in-country operations support and licensing with industry partners.  Lim said that it is a breakthrough for the company’s land systems business, being the “first significant international land platform contract” the business has secured in recent years.

SEE ALSO

ST Engineering unit wins Lusail smart city project worth over S$60 million

DECODING ASIA

Navigate Asia in
a new global order

Get the insights delivered to your inbox.

Chairman of KPE’s supervisory board Aibek Baryssov said that the collaboration will combine ST Engineering’s capabilities with KPE’s experience in deep localisation, scientific research, and the operation of armoured vehicles in Kazakhstan’s unique geographic conditions. 

This will enable it to “fully meet the needs of the Armed Forces of the Republic of Kazakhstan for amphibious vehicles”, he said. He added that ST Engineering and KPE have plans for “new stages of collaboration on various projects”, but did not elaborate.