Allison Transmission Secures $97 Million Contract to Deliver Propulsion Systems for 2026 Abrams Tank Orders
Rhea-AI Summary
Allison Transmission (NYSE:ALSN) was awarded a $97 million contract on Oct 13, 2025 to deliver propulsion systems supporting U.S. Army Abrams tank orders for 2026. The company’s X1100 cross-drive transmission has powered the Abrams platform for nearly five decades and is described as meeting the Army’s mobility, survivability, maintainability, and modularity goals.
Allison said it supports depot repair activity at the Army’s Anniston depot under the Army's right to repair initiative and has qualified select service channel members for cross-drive support. The company also highlights investments in electric hybrid propulsion, digital diagnostics, and modular drivetrains aligned with Army logistics and efficiency priorities.
Positive
- $97 million contract awarded to support 2026 Abrams orders
- X1100 transmission has supported Abrams for nearly five decades
- Qualified select service channel members to support cross-drive products
- Supports depot repair at Anniston under the Army's right to repair
- Investments in electric hybrid propulsion and digital diagnostics
Negative
- None.
News Market Reaction 1 Alert
On the day this news was published, ALSN gained 1.56%, reflecting a mild positive market reaction.
Data tracked by StockTitan Argus on the day of publication.
"Allison has been an integral part of the Abrams program from the beginning," said Dana Pittard, Vice President for Defense Programs, Allison Transmission. "From its 1970s origins to today's advanced variants, our transmissions have enabled the Abrams to maneuver with precision and resilience in the world's most demanding environments, when failure is not an option."
Allison's X1100 cross-drive was engineered to meet the Army's ambitious mobility and survivability goals with follow-on enhancement and changes to meet the battlefield requirements. Combining steering, braking and gear shifting into a single compact unit was revolutionary at the time, enabling seamless power transfer and high-torque capacity under extreme conditions.
Today the X1100 continues to fulfill the Army's evolving operational needs, including its renewed emphasis on maintainability, modularity and lifecycle readiness. Since the start of the Abrams program, Allison has enabled transmission repair activity at the Army's Anniston depot by providing enhanced access to diagnostics, components and service protocols under the Army's recent right to repair initiative. Qualification of select Allison service channel members to support cross drive products further reinforces Allison's commitment to supporting the Army's need for continuity of service, operational resilience and mission readiness around the globe.
Allison's defense portfolio continues to evolve with recent investments in electric hybrid propulsion enabling silent mobility, digital diagnostics and modular drivetrain systems. These innovations align with the Army's goals for reduced logistical footprints, enhanced fuel efficiency and future-ready vehicle architectures.
For more information about Allison's advancements in the defense industry, visit AllisonTransmission.com.
About Allison Transmission
Allison Transmission (NYSE: ALSN) is a leading designer and manufacturer of propulsion solutions for commercial and defense vehicles and the largest global manufacturer of medium- and heavy-duty fully automatic transmissions that Improve the Way the World Works. Allison products are used in a wide variety of applications, including on-highway vehicles (distribution, refuse, construction, fire and emergency), buses (school, transit and coach), motorhomes, off-highway vehicles and equipment (energy, mining, construction and agriculture) and defense vehicles (tactical wheeled and tracked). Founded in 1915, the company is headquartered in
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SOURCE Allison Transmission, Inc.