Hungary has become the first customer for the new Rheinmetall Lynx KF41 infantry fighting vehicle (IFV) after it signed a deal valued at more than €2bn ($A3.25bn) for 218 Lynx IFVs.

The order, which was confirmed on September 10, also includes nine Buffalo armoured recovery vehicles, synthetic training devices, training, and an initial spares stock and maintenance support. The first phase of 46 Lynx and all the Buffalo vehicles will be manufactured by Rheinmetall in Germany with delivery commencing in 2023, before production of the remaining 172 vehicles in phase two will be manufactured in Hungary through a Rheinmetall majority-owned joint-venture that was established in August 2020.

The Lynx vehicles will be fitted with Rheinmetall’s 30mm Lance turret, the majority of which will be manufactured for the first phase at Rheinmetall’s Military Vehicle Centre of Excellence (MILVECOE) in Brisbane.

“The Lynx’s market breakthrough is a major success for us,” Chairman of the executive board of Rheinmetall AG, Armin Papperger said in a statement. “And the fact that we were able to convince Hungary – an important EU and NATO partner – to choose this innovative vehicle makes this success all the greater. In making this forward-looking procurement decision, Hungary’s top political and military officials have demonstrated real leadership.”

Rheinmetall was shortlisted with its Lynx KF41 for the Australian Army’s LAND 400 Phase 3 IFV requirement in 2019 alongside Hanwha with its Redback vehicle, and has also pitched the Lynx for a Czech requirement.