Germany's Defense Ministry plans to order additional 200,000 artillery shells from Rheinmetall for approximately €880 million.
Rheinmetall has already seen significant growth due to increasing orders from Ukraine's Western partners.
The German Defense Ministry aims to replenish German stocks and make the country more independent from global supply chains.
The new orders are part of a larger agreement between Germany and Rheinmetall that includes the construction of a new artillery factory in Ukraine.
Germany's Defense Ministry Announces Plans to Increase Orders of Artillery Shells from Rheinmetall
In response to the ongoing conflict in Ukraine and dwindling ammunition supplies, Germany's Defense Ministry has announced plans to increase orders of artillery shells from Rheinmetall. According to multiple reports, the ministry intends to spend approximately €880 million ($960 million) on an additional 200,000 artillery shells.
The new orders come as part of a larger agreement between Germany and Rheinmetall that includes the construction of a new artillery factory in Ukraine. The facility will produce not only artillery shells but also military vehicles, gunpowder, and anti-aircraft weapons. A memorandum of intent was signed between Rheinmetall and Ukraine's Strategic Industries Minister to establish the joint plant based in Ukraine.
The German Defense Ministry's decision to increase orders from Rheinmetall is aimed at replenishing German stocks as they continue to support Kyiv in defending against Russia's ongoing war. The new production line in Unterluess, Lower Saxony, will also ensure that ammunition for the Bundeswehr is produced in Germany and make the country more independent from global supply chains.
Rheinmetall has already seen significant growth due to the increasing number of orders from Ukraine's Western partners. The company's value has quadrupled since the all-out war began in February 2022.
In addition to Germany, Lithuania also signed a memorandum with Rheinmetall in April to further construct an artillery ammunition plant in the country.
Sources:
Reuters: Germany plans to order additional 200,000 artillery shells from Rheinmetall
Agencia Nova: Germany's Ministry of Defense increases ammunition orders from Rheinmetall
Bloomberg: Germany Wants €880 Million More Howitzer Shells From Rheinmetall
Rheinmetall plans to build an artillery factory in Ukraine along with facilities for military vehicles, gunpowder, and anti-aircraft weapons
A memorandum of intent was signed between Rheinmetall and Ukraine’s Strategic Industries Minister to produce artillery shells in a joint plant based in Ukraine