Global defence group, BAE Systems, said on Thursday that it would transfer the development and production of the new Pinzgauer military vehicles, to the group's Benoni site, in South Africa.

BAE Systems explained that the move to South Africa was motivated by a thorough review of the current and future potential workload, the current cost base of Pinzgauer vehicle production, the duplication of capability across BAE Systems sites, and how the product fitted in BAE Systems' wheeled-vehicle strategy.

BAE Systems acquired Pinzgauer in August last year as part of its Armor Holdings acquisition.

As a result of the review, the company decided that Pinzgauer 1 vehicle production would be discontinued at its Guildford and Fareham sites in the UK.

BAE Systems stated that it planned to establish a new Pinzgauer support business, as part of its military vehicle support business, at the Guildford site to continue supporting Pinzgauer fleets, primarily in the UK and New Zealand.

The development of the new Pinzgauer 2 vehicle would be transitioned to the BAE Systems South Africa business, which has the infrastructure to continue to develop, manufacture and market these light utility vehicles.

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