Düsseldorf-based Rheinmetall enterprise has been awarded a substantial contract to supply Ukraine with artillery ammunition valued at approximately 142 million euro. This order encompasses tens of thousands of complete 155 mm artillery shells, including the projectile, fuse, propellant and primer. The procurement is being funded by a NATO partner nation committed to providing Ukraine with long-term military assistance in its ongoing defensive struggle.
Rheinmetall Expal Munitions, the Group’s newly acquired Spanish subsidiary, will be responsible for manufacturing the artillery shells. This contract reinforces Rheinmetall’s position as the world’s leading producer of ammunition, particularly in the large caliber domain. Deliveries are scheduled to commence in 2025. Additionally, production and delivery of around 40,000 rounds for Ukraine from an earlier order is slated for 2024.
In mid-October 2023, the German government placed an order with Rheinmetall for over 100,000 rounds of 155 mm ammunition destined for Ukraine, along with additional DM121 high explosive shells. This order, also executed by Rheinmetall Expal Munitions, carries a value in the mid-three-digit million-euro range.
Driven by Ukraine’s requirements and the need to replenish depleted ammunition stocks in Germany, NATO and EU countries, demand for artillery ammunition is currently soaring. To address this surge, Rheinmetall plans to significantly expand its ammunition production capacity in 2024 across its facilities in Germany, Spain, South Africa and Australia. This expansion is expected to boost annual output capacity to around 700,000 artillery rounds.
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