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Rheinmetall to Establish Four Defense Factories in Ukraine. What’s Known So Far

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Ivan_khomenko
Ivan Khomenko
AUTHOR
Rheinmetall to Establish Four Defense Factories in Ukraine. What’s Known So Far
An employee wears a “Rheinmetall, Heavy Weapons Carrier” badge. (Source: Getty Images)

Germany’s leading defense contractor, Rheinmetall, is set to establish four production plants in Ukraine, advancing the nation’s self-sufficiency in defense manufacturing.

This update was shared by Rheinmetall’s CEO, Armin Papperger, in a recent interview with TSN. The first of these factories is already operational.

Former Minister of Strategic Industries Oleksandr Kamyshyn, Rheinmetall CEO Armin Papperger and Deputy Defense Minister Dmytro Klimenkov. (Source: Oleksandr Kamyshyn/ Telegram)
Former Minister of Strategic Industries Oleksandr Kamyshyn, Rheinmetall CEO Armin Papperger and Deputy Defense Minister Dmytro Klimenkov. (Source: Oleksandr Kamyshyn/ Telegram)

Expanding Ukraine’s Defense Manufacturing Capabilities

According to Papperger, the initial factory—focused on manufacturing and servicing military equipment—is now active, with plans to roll out the first advanced Lynx infantry fighting vehicles by the end of the year. Rheinmetall’s partnership with Ukraine’s defense sector reflects an expanded commitment to bolstering local production capacities. “We have many plans underway,” Papperger stated, emphasizing that Ukraine’s defense industry is now a key partner in this effort.

This initial phase includes a production line for infantry vehicles and servicing facilities for both infantry and main battle tanks. Rheinmetall holds a majority share (51%) in this operation.

Plans for Ammunition, Gunpowder, and Air Defense Production

Beyond this first plant, Rheinmetall is moving forward with plans to build additional facilities. The second factory, nearing completion, will focus on gunpowder production, while the third will produce ammunition to meet NATO standards, replacing older Soviet manufacturing capabilities. Finally, a fourth plant will concentrate on air defense systems, enhancing Ukraine’s defensive infrastructure.

Rheinmetall manufactures 155mm artillery ammunition. (Source: Getty Images)
Rheinmetall manufactures 155mm artillery ammunition. (Source: Getty Images)

“Progress is steady,” Papperger said, noting that the first two facilities are already well on their way. He added that the goal is to fast-track these projects to meet Ukraine’s pressing defense needs: “Time is of the essence, and we cannot afford to delay.”

Rheinmetall’s Oerlikon Radshield air surveillance system, specialized in detecting and neutralizing drones. (Source: Getty Images)
Rheinmetall’s Oerlikon Radshield air surveillance system, specialized in detecting and neutralizing drones. (Source: Getty Images)

Aligning with NATO Standards for Future Readiness

Rheinmetall’s production lines in Ukraine will operate according to NATO standards, which is a significant shift from Ukraine’s Soviet-era production frameworks. Once completed, the facilities are expected to support dual and even triple production capacities for various ammunition types, providing Ukraine with essential resources for its defense.

In March 2024, Rheinmetall received its initial order from Ukraine to develop these facilities, and the partnership has since expanded to include manufacturing artillery, tank ammunition, and other defense equipment.

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