FNSS Savunma Sistemleri A.S.

FNSS Savunma Sistemleri A.S. (FNSS) is a Turkish joint venture company owned 51% by Nurol Holding of Turkey and 49% by BAE Systems, Inc. with facilities located in Gölbasi, Ankara, Turkey. FNSS is a leading manufacturer and supplier of tracked and wheeled armored combat vehicles and weapon systems for the Turkish and Allied Armed Forces.

FNSS is a leading company in the design and production of tracked and wheeled armoured vehicles and weapon systems for use by Turkish and allied armed forces. FNSS, established in 1988 for the production of Armoured Combat Vehicles, has achieved the status of a global company, capable of designing and producing a broad range of land systems and including training and integrated logistic support for these systems. FNSS continues to be a leading land combat systems provider for the Turkish Armed Forces and the regional supplier of choice for other armies throughout the world. In 2011 FNSS achieved the highest export value among the Turkish defense industry based on a single contract with the Malaysian AV8 program.

While the Defense Industry Development and Support Administration (later Undersecretariat for Defense Industries -“SSM”) was established through Law no 3238 dated 7 November 1985, the first steps were already taken months earlier for the establishment of FNSS and the framework of the joint venture was determined through a Memorandum of Understanding signed on 24 July 1986 between Nurol Insaat ve Ticaret A.S. and FMC Corporation [the former Food Machinery Corporation].

The first major defense project handled by SSM after its establishment was the “Armored Combat Vehicle Project”, which has stipulated manufacturing of tracked Armored Combat Vehicles in Turkey in order to meet the requirement of Turkish Armed Forces, the request for proposal has been issued on 18 July 1986 and the first proposals had been submitted on 27 October 1986. As a result of the negotiations held between FMC and Nurol, a “Joint Venture Agreement” was signed on 1 July 1987 and the name “FMC - Nurol Savunma Sanayii A.S. (FNSS)” became the official name. According to this agreement, 51 % of FNSS would be owned by FMC and 49 % by Nurol.

The Undersecretariat for Defense Industries has announced in February 1988 that the tender is finalized and contract negotiations shall be started with FNSS and as a result of the negotiations, the contract has been signed on 23 May 1988 in the presence of the Esteemed Prime Minister Turgut Özal. Manufacturing of around 1700 vehicles within 10 years in Turkey was stipulated in the contract signed with a value more than one billion US Dollars. Right after signing the contract, the transactions related to foreign capital are finalized, the transactions related to establishment of the company are started and the establishment of FNSS Savunma Sistemleri A.S is registered on 31 August 1988 by Ankara Trade Registration Office.

The company was established to manufacture 1698 each Armored Combat Vehicles (ACV’s) for Turkish Armed Forces under a direct commercial contract (1st package ACV-15) with the Undersecretariat of Defense Industries (SSM). FNSS started production in August 1991 at facilities situated on a total area of 280,000 square meters. The 1st package of Armored Combat Vehicles (ACV-15) contract was successfully completed in 2000. The 2nd package of Armored Combat Vehicles contract was signed in 2000 and completed in a four year period.

FNSS has a full family of Tracked Armored Combat Vehicles (ACV-15), designed with the necessary mounting provisions to transform the vehicle into various configurations based on user requirements. The Advanced Armored Personnel Carrier (AAPC) configuration forms the base vehicle for all other variants of this family of vehicles. FNSS has developed the ACV-19 family of vehicles which provides higher internal usable volume and payload. ACV-19 offers the latest developments in high value vehicle performance while maintaining commonality with the ACV-15 family of vehicles. ACVs manufactured by FNSS have been used for thousands of kilometers by Turkish and UAE army contingencies serving with the United Nations Peacekeeping Forces in Somalia, Bosnia & Herzegovina, Kosovo and Afghanistan.

The transactions related to entry of the contract into force, which were carried out in parallel to company establishment transactions have been finalized in spring months and the contract has entered into force on 15 August 1989 through a ceremony held upon participation of SSM, FNSS and the invited persons and establishments. The Armored Combat Vehicle Project, which is described as the first major defense project of Turkey is also known as the first major project completed successfully. It has also became the project that set the standards of this sector in Turkey.

Certain changes have been experienced by time in the partnership structure of FNSS. In 1994, FMC Corporation has merged its activities in the field of Defense Industry with BMY - Harsco, which is another defense company residing in USA, and the newly formed company is called as United Defense LP (UDLP). In 1997, United Defense LP was acquired by Carlyle Group and FMC Corporation is withdrawn from the field of defense.

After year 2000, FNSS developed a new generation of 6X6 and 8X8 Wheeled Armored Combat Vehicles named PARS, which in Turkish means Anatolian Leopard. Today, the vehicles employ the latest design and technologies from commercial off–the-shelf (COTS) which have been Militarized (MCOTS) to meet the performance and durability of modern military operational requirements. FNSS has the capability to meet the specific requirements of its customers by incorporating a variety of weapon stations and mission systems.

As FNSS did not have any more relationship with FMC Corporation due to such change, the name of the company, which was “FMC - Nurol Savunma Sanayii A.S. (FNSS)” as of the date of its establishment, has been changed as “FNSS Savunma Sistemleri A.S. “ as of 1997. Pursuant to an agreement reached among the partners in October 2005, the capital structure of the company has been changed as 51 % Nurol Holding A.S and 49 % UDLP and the world giant BAE Systems has acquired the shares of UDLP in the same year. Thus, the majority in the share structure has passed to the Turks.

FNSS realized its first export to the United Arab Emirates in 1997 and sold 133 ACVs to this country. With this sale, Turkey had, for the first time, exported a defense product to another country on main system basis.

Afterwards, 211 units were sold to Malaysia in 2000 as a result of many years’ efforts and this export project has been Turkey’s biggest main system export realized at one time until the date. Technology transfer has also been realized to Malaysia through the same project. A new contract covering 56 Armored Combat Vehicles in different configurations has been signed in 2008.

The first export contract within the framework of Armored Vehicle Modernization activities has been signed with Saudi Arabia in 2004 and modernization of various types of M113 Armored Personnel Carriers of Royal Saudi Land Forces are being realized in Al - Kharj Maintenance and Repair facilities of Royal Saudi Armed Forces. The management of Al - Kharj facilities is also carried out by FNSS under the project.

Furthermore, FNSS realized vehicle modernization projects with Philippines and Bahrain and it is providing logistics and technical support services for M113 and ACV type vehicles for Belgium and United Arab Emirates armies.

As of 2000 FNSS has renewed itself and started developing the design structure that shall develop original land platforms. The wheeled armored vehicles developed by FNSS have been added in short time to its tracked armored combat vehicles which attract attention in the world market, and it has added the Tactical Wheeled Armored Vehicle (TWAV) family (6 x 6 and 8 x 8) called PARS to its product portfolio. Institutions and universities like ITU, TUBITAK, ODTU have played a role as solution partner in development of PARS vehicle family. This family of vehicles, which have features not existing in competing vehicles in its class, is marketed in many countries.

FNSS has taken the first step to success upon development of PARS TWAV vehicle and has been awarded by SSM with development and manufacturing of Mobile Floating Assault Bridge (MFAB) project requested by Turkish Armed Forces. The MFAB being developed on PARS platform has become the most improved system existing in the world and FNSS has started marketing this new product to the Armies of the World.

Within this framework, FNSS developed an Amphibious Combat Engineering Armored Bulldozer for Turkish Armed Forces through AZMIM project and delivered it in a short time.

Another capability of FNSS is the development and production of turrets and weapon stations. The company has developed and is producing a single - person Sharpshooter turret, which is fitted with a 25 - mm cannon and a co -axially mounted 7.62 mm weapon, which is stabilized and equipped with modern night vision system. The design and development works for 25 / 30 mm Remote Controlled Weapon Turret are currently being carried out jointly with Aselsan A.S.

FNSS, which is capable of designing and developing the most complex land platforms, including the Main Battle Tank is now the leading company among all kinds of land platform design and development companies in Turkey.

FNSS, which was established in 1989 for Armored Combat Vehicle production, has adopted the philosophy of working as an element of Turkish Land Power, along with Land Forces and has succeeded in becoming a National Organization that may design and produce various land systems within a wide range of products and that may provide relevant training and logistics support. FNSS is now developing the most complex systems required by Turkish Armed Forces without having foreign technical support and adding them to its product portfolio. FNSS became known throughout the world markets in a short time with the works it has performed and has contributed to exports with its billions of dollars of sales, which is important for the country.