"Agreement has been reached with the US side regarding the army fighting vehicles that have been discussed over the past few years," Plenković said in a comment on the M2A2 ODS fighting vehicle.
The total value of the deal is $196.4 million, the US donation will amount to $51.1 million, which means that Croatia will pay $145.3 million.
Croatia will obtain 62 fighting vehicles, 22 vehicles for spare parts and five for training, and their upgrading will be performed at the Đuro Đaković company in Slavonski Brod.
The equipment includes a 25 mm automatic cannon, a 7.62 mm machine gun, and anti-tank missiles.
Plenković said that with the deal, which had been discussed since 2017, Croatia had achieved several strategic objectives - strengthening its alliance with the USA, lowering the price of the vehicles in relation to earlier talks, and securing a job for Đuro Đaković, which, he said, could become a "broader" service centre.
By joining NATO Croatia has assumed the obligation to form by 2026 a medium infantry brigade, which requires appropriate equipment for the army, the PM said.
Text: Hina