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MINEFIELDS
Engineers can place minefields. Minefields are incredible defensive tools. Enemies inside of minefields receive a myriad of penalties. Their movement speed is drastically slowed, and when in combat take extra casualties, receive less defence, lower firepower and lower morale. Pictured below is the defensive line in Operation Veritable, with minefields and bunkers littering a swamp.

Minefields have a strength percentage – the more time you give to lay mines, the stronger the minefield will be. You can tell the strength of a minefield visually by the number of mine icons. When you capture territory containing enemy minefields, their strength is slowly diminished over time as safe paths are marked & found.
Friendly units are not slowed down by friendly minefields (maps & paths are marked for them).
LAYING MINEFIELDS
Engineers can automatically lay minefields (changeable in the Doctrine panel), favouring roads. However you can also explicitly tell them to mine an area you think the enemy will through. Laying minefields takes lots of supply though.

CLEARING & ASSAULTING MINEFIELDS
If attacking an enemy position containing mines, you’ll want your engineers to CLEAR the minefields ahead of time. This is a slow procedure, so give them as much time as possible before the attack (ex: 24 hours).

Additionally, friendly units become immune to the effects of minefields when escorted by nearby engineers. Pictured below are mechanized infatntry being escorted by mechanized engineers in halftracks.

FORTIFICATIONS
Engineers are also useful for creating higher level fortifications. Fortifications have a strength level, and by default most units can only create fortifications up to a certain strength (ex: Infantry can dig fortifications 40% strong). Fortifications grant defensive bonuses (especially against artillery), and minor firepower bonuses. Note in the picture below the relatively basic trenches & foxholes dug by regular infantry.

Note the higher fortification percent with the fortifications dug by engineers.

Lastly, some missions has you attacked pre-placed fortifications such as bunkers, pillboxes, anti-tank traps & ditches. These fortifications take weeks to build, and cannot be built during a mission.

DESTROYING FORTIFICATIONS
Fortifications are slowly destroyed while fighting. However Engineers are armed with specialist tools & weapons for destroying fortifications rapidly. Engineers will automatically move to assist & destroy fortifications that friendly units are fighting against.

MECHANIZED ENGINEERS
Engineers can be on foot, or mounted in halftracks. Mechanized engineers enjoy increased firepower from the machine guns in their halftracks and increased movement speed. Unfortunately they consume more supplies and cost more requisition (used to build division between missions).

In summary, Engineers are necessary for both defence and offence. Defensively they lay minefields and create improved fortifications. Offensively they clear minefields and quickly destroy fortifications. They can be mounted in halftracks for improved firepower & speed. Don’t forget to include Engineers in your custom-made divisions!