24 July 2024

Rheinmetall Supplies Equipment for a New Ammunition Factory in Ukraine --- A joint venture between Rheinmetall and a Ukrainian state-owned company in operating the ammunition plant is about to be established.

This involves a total value ranged in a low three-digit million euro range, which will be booked as incoming order at the start of the third quarter of 2024. 

It is foreseen to begin in short term and to be completed within a few years. 

The intention is to start the ammunition production in the Ukraine within 24 months.

KEY FACTS
Rheinmetall delivers technical equipment for ammunition factory in the Ukraine
Commissioning planned within 24 months
Order value in the low three-digit million-euro range


Rheinmetall has now received its first important order from the Ukrainian government for the construction of an ammunition factory in the Ukraine, which was announced in February 2024, and marks the starting point for the realization of the project. 
  • The order for the Duesseldorf-based technology group Rheinmetall covers the complete technical equipment of the factory through to commissioning. 
  • This involves a total value ranged in a low three-digit million euro range, which will be booked as incoming order at the start of the third quarter of 2024. 
It is foreseen to begin in short term and to be completed within a few years. 
  • The intention is to start the ammunition production in the Ukraine within 24 months. 
  • Together with its Ukrainian joint venture partner, Rheinmetall will also be responsible for operating the plant.
Armin Papperger, CEO of Rheinmetall AG
“We are putting our words into action and together with our partner we will create a Ukrainian competence center for ammunition. 
The order underlines the confidence in Rheinmetall's expertise and manufacturing capacities. 
We are grateful to be able to support the country in its re-industrialization and in strengthening its defense capability”.

  • Measures are currently being taken in the Ukraine to prepare the necessary infrastructure. 
  • A joint venture between Rheinmetall and a Ukrainian state-owned company in operating the ammunition plant is about to be established. 
  • This was announced at a side-discussion at the Munich Security Conference in February 2024.

In June 2024, the CEO of Rheinmetall AG, Armin Papperger, and the Ukrainian Minister for Strategic Industries, Oleksandr Kamyshin, signed an agreement to expand the strategic cooperation at the “Ukraine Recovery Conference” in Berlin. 
  • A few days earlier, they opened an armor plant in western Ukraine, which is operated by the joint venture Rheinmetall Ukrainian Defence Industry LLC. 
The first Lynx Infantry Fighting Vehicle (IFV) from Rheinmetall is to be handed over to the Ukrainian armed forces before the end of this year, and local production is to commence as soon as possible.
Rheinmetall to deliver a ammunition production line to Ukraine - Frag Out!  Magazine

Rheinmetall Supplies Equipment for a New Ammunition Factory in Ukraine

24 Jul, 2024 - 8:40
Defense News Army 2024


Rheinmetall, the Düsseldorf-based technology group, has secured a significant order from the Ukrainian government for the construction of an ammunition factory. Announced in February 2024, this project marks the beginning of a major collaboration between Rheinmetall and Ukraine. The order includes all the necessary technical equipment for the factory, which will be operational within 24 months. The total value of the order is in the low hundreds of millions of euros and will be recorded as an incoming order at the beginning of the third quarter of 2024. The project is expected to start shortly and be completed within a few years. Rheinmetall, in partnership with its Ukrainian joint venture, will also manage the factory's operations.

Rheinmetall also announced its intention to open several factories in Ukraine, including facilities for the production of tanks, ammunition, and air defense systems. (Picture source: Rheinmetall)


.  . .Rheinmetall also announced its intention to open several factories in Ukraine, including facilities for the production of tanks, ammunition, and air defense systems. This initiative is part of a broader strategy to increase production capacity to meet the growing demand for ammunition, exacerbated by the war in Ukraine and the rearmament needs of European countries. 
  • In 2023, Rheinmetall recorded orders worth 38.3 billion euros, up 44% from the previous year, and plans to increase its annual production capacity of shells to about 1.5 million by 2026.
Rheinmetall's support for Ukraine extends beyond the supply of ammunition. 
  • The company actively participates in programs for the maintenance and repair of combat vehicles and is involved in military equipment exchanges with partner countries to strengthen Ukraine's defense capabilities. 
  • In collaboration with the Dutch and Danish governments, Rheinmetall also supplies Leopard main battle tanks for the training of Ukrainian armed forces.
These initiatives demonstrate Rheinmetall's ongoing commitment to supporting Ukraine in its defense and reindustrialization efforts, by establishing critical infrastructure and enhancing local defense production capabilities.

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