On May 13, during a meeting in Madrid, Ukraine's state defense conglomerate Ukroboronprom signed a memorandum of understanding with German defense giant Rheinmetall, signaling a potential expansion of their strategic partnership. The agreement outlines plans to establish a new joint venture focused on producing artillery ammunition on Ukrainian soil.
The move reflects Ukraine's urgent need to scale up domestic production of critical military supplies amid russia's full-scale invasion.
Read more: Rheinmetall and ICEYE Partner to Produce SAR Satellites
"The war has clearly demonstrated that the demand for artillery shells is enormous, and current production capacities are insufficient to meet that need. Every new ammunition plant, every production line is vital for supplying our military. We must seize every opportunity to build them," Oleh Hulyak, CEO of Ukroboronprom, said.
This latest agreement builds on the cooperation established in June 2024, when the first repair and production facility for armored vehicles was launched under a separate joint venture between Ukroboronprom and Rheinmetall. With artillery munitions playing a central role in Ukraine's defense strategy, the new project aims to further strengthen the country's resilience and independence in arms manufacturing.
As Defense Express previously reported, Rheinmetall is expanding its product range and is taking the space sector seriously, planning to produce satellites in cooperation with ICEYE.
The two companies have signed a memorandum to establish a joint venture that will assemble remote sensing satellites equipped with SAR technology.
Read more: Rheinmetall CEO Says Taurus Won't Turn the Tides of War, Offers Ukraine a Surge in Shell Production
