The Merkava Mark III was introduced in December 1989, and had many major upgrades to the drivetrain, powertrain, armament, and safety systems. The most prominent addition was the incorporation of the locally-developed IMI 120 mm gun based on German Rheinmetall 120mm Gun. This gun and a larger 1,200 horsepower diesel motor increased the total weight of the tank to 65 tons, but the larger motor increased the maximum cruising speed to 60 km/h.

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