The Ukrainian government has contracted Rheinmetall to build an ammunition factory in Ukraine. Pictured are SMArt 155 mm guided munitions. (Rheinmetall)
The Ukrainian government has contracted Rheinmetall to build an ammunition factory in Ukraine, the German company announced in a press release on 24 July. Valuing the contract in the low three-digit euro range, Rheinmetall said work on the factory would begin soon and be completed in a few years, with ammunition production beginning within 24 months.
Rheinmetall will deliver technical equipment for the ammunition factory and together with a Ukrainian joint venture (JV) partner will operate the plant. The German company said a JV with a yet-to-be named Ukrainian state-owned company will be established to operate the ammunition plant and that the factory's infrastructure in Ukraine is being prepared.
A Rheinmetall spokesperson told Janes on 26 July that the factory would produce NATO-standard 155 mm ammunition in particular, with an annual production capacity in the six-digit range. The German company illustrated the press release with a photo of SMArt 155 mm guided munitions, which have a firing range of 27.5 km using the DM72 charge, according to Janes Weapons: Ammunition.
In October 2023 Rheinmetall and the Ukrainian Defense Industry joint stock company (formerly Ukroboronprom) established a 51:49 JV in Kyiv. Initially operating in Ukraine, the Rheinmetall-Ukrainian Defense Industry JV repairs, conducts maintenance, assembles, produces, and develops military vehicles.
The JV's maintenance and repair centre was officially opened in western Ukraine on 10 June. The hub maintains and overhauls Marder infantry fighting vehicles (IFVs). In future, Leopard 1 and Leopard 2 main battle tanks (MBTs) and other German-made systems will also be repaired at other locations in Ukraine.
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