The conflicts between Ukraine and Russia have been ongoing for a long time and have resulted in an enormous demand for weapons. For this reason, the German manufacturer Rheinmetall plans to increase its production of ammunition for artillery systems in Ukraine. The company announced this during the Munich Security Conference. A letter of intent to establish a joint venture with a Ukrainian partner has already been signed, in which Rheinmetall will own 51 percent of the shares.

The Chairman of the Board of Management of Rheinmetall, Armin Papperger, emphasized that the joint venture will make a significant contribution to defense capability and thus to the security of Europe. The Ukrainian production facility, which still needs to be built, will produce a six-figure number of 155-millimeter caliber artillery rounds annually.

This includes the corresponding propellant charges, for example, those fired by the Panzerhaubitze 2000. The need for artillery ammunition in this war is indispensable, as estimates suggest that thousands of rounds are used daily.

However, this is not the only project of Rheinmetall. The company has recently announced the construction of another ammunition plant in Unterlüß, Lower Saxony. There, in addition to explosives and components for rocket artillery, artillery systems will also be manufactured starting from 2025. The plant will have an annual production capacity of 200,000 rounds.

Additionally, Rheinmetall already established a joint venture last year with the Ukrainian state corporation Ukrainian Defense Industry JSC, formerly known as Ukroboronprom. The plan is to service military vehicles and later also to manufacture armored vehicles, including the new Panther main battle tank.

Rheinmetall's decision to increase production in Ukraine comes as no surprise. The munitions and vehicles from the German arms manufacturer are among the most modern and capable in the world and can thus provide a significant advantage in the war against Russia.

The assistance provided is not only to the Ukrainian army but also strengthens the position of Europe. Thus, the cooperation between Rheinmetall and Ukraine will bring not only economic but also security policy benefits.