THE competition for Queensland to win a lucrative $5 billion is blowing up as the final bids are due today.

Queensland is locked into a struggle with Victoria to secure the Land 400 phase 2 contract to build 225 state-of-the-art armoured vehicles for the military, as well as the jobs which go with it.

Rheinmetall, which has promised to base its operations in the Sunshine State, is up against BAE in Victoria.

The final testing - which includes each company's combat reconnaissance vehicles undergoing blast testing by running over landmines and explosives - is currently taking place.

The final bid from the two companies is also due and the Federal Government will make the final call by mid-2018.

State of the art weapons of war that may soon be made in Queensland.
State of the art weapons of war that may soon be made in Queensland.

Defence Industry Minister Christopher Pyne said the blast tests, where explosives are set off under the wheels and belly of the tanks, were being undertaken by the Australian soldiers who will be operating the vehicles.

"The aim of this project is to deliver a world-class armoured fighting vehicle which can take a hit, and protect our soldiers," he said.

Fairfax MP Ted O'Brien said Queensland's 26 government MPs were lobbying for Rheinmetall to succeed to secure the jobs for state.

"But our battle to win this deal for Queensland is more than just loyalty to our state," he said.

"This is about bringing Australian soldiers home to their families, safe and well, and Rheinmetall's Boxer CRV is best equipped to do this."

He said they were aiming to take one of Rheinmetall's Boxer CRV's on a "road trip" throughout regional Queensland next month.

The $5 billion Land 400 phase two project is expected to create 450 jobs.

It also has the backing of the Palaszczuk Government, which will co-invest with Rheinmetall if the company is successful.

The blast tests are intended to assess the CRV's survivability, while their protection, lethality and usability have been measured over the past 12 months.