European defence industry to establish project company for MGCS

By Defence Industry Europe

Leading European defence contractors - KNDS Deutschland, KNDS France, Rheinmetall AG, Rheinmetall Landsysteme, and Thales - have officially embraced a groundbreaking agreement between France and Germany on the Main Ground Combat System (MGCS).


In a unified statement, the consortium expressed its enthusiasm for the agreement, which they view as a crucial milestone in the progression of next-generation defence solutions. With an eye towards optimizing collaboration and efficiency, the companies plan to form a joint project company. This initiative is designed to tackle the inherent complexities of developing a sophisticated multi-platform system and to capitalize on the synergistic potentials of the Franco-German partnership.



The innovative “level-pillar approach” proposed for the project aims to ensure an equitable distribution of labor, maintaining a balanced 50:50 workload ratio between the French and German entities. This strategy is not only designed to foster fairness but also to leverage the distinct technical skills and resources of each company involved.



Looking forward, the companies are poised to commence negotiations soon, with the goal of launching the joint venture and starting project implementation by 2025. This collaborative effort is a testament to the strong industrial and strategic ties between France and Germany and sets a promising trajectory for the future of European defence capabilities.



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