Allison Transmission has signed a $250 million agreement with BAE Systems Hägglunds to supply its new 4040 MX™ transmissions for the CV90 MkIV infantry fighting vehicle. Announced at the Eurosatory defense exhibition in Paris, the contract also includes an option for an additional $50 million in units, making it the largest single tracked defense program order in Allison’s history.

4040 MX enters production in 2028
The CV90 MkIV will become the first production platform to feature Allison’s new 4040 MX cross-drive transmission. Developed as an evolution of the proven 3040 MX, the new transmission delivers higher power capacity and upgraded electronic controls while maintaining the same compact footprint for seamless integration with the vehicle’s Scania engine. Production deliveries are scheduled to begin in 2028.

“The integration and selection of Allison’s 4040 MX cross-drive transmission into the CV90 MkIV is a critical milestone in delivering increased mobility and performance,” said Tommy Gustafsson-Rask, President at BAE Systems Hägglunds. “This contract highlights our mutual commitment to providing robust solutions that meet the evolving operational requirements of the armed forces.”
“This historic agreement underscores the proven reliability of Allison’s propulsion solutions in the most demanding environments and missions” said Dana Pittard, Vice President of Defense Programs at Allison Transmission. “By working with BAE Systems Hägglunds, we are delivering a propulsion solution that not only meets the rigorous demands of modern combat vehicles but also demonstrates our collective readiness to support national security initiatives around the world.”


