Rheinmetall expects large orders for ammunition production from Ukraine
The German defense conglomerate Rheinmetall AG assumes that the amount of potential orders for its future ammunition plant in Ukraine will exceed 2 billion euros, according to Rheinmetall's presentation summarizing the half-year results.
On July 24, Rheinmetall announced that it had received a contract for the construction of an ammunition plant from the government of Ukraine.
The enterprise will produce 155mm artillery shells, in particular propelling charges. Exact volumes of production are not specified.
Rheinmetall describes the construction cost of the enterprise as "low three-digit million euro" (that is, it is more than 100 million euros).
In addition, in June 2024, Ukroboronprom and Rheinmetall opened the first joint venture, which will deal with the repair and production of armored vehicles. The presentation indicated that it will start supplying the first Lynx IFVs to Ukraine by the end of the year.
On February 12, Rheinmetall began building a new Werk Niedersachsen ammunition plant in Germany. According to plans, it will start working in a year, and in three years it will reach the planned capacity of 200,000 artillery shells. Such an enterprise will cost 300 million euros.
