MGCS Project Company GmbH established in Cologne to advance Franco-German defence programme

By Defence Industry Europe

A major milestone has been reached in the Franco-German Main Ground Combat System (MGCS) project with the official establishment of MGCS Project Company GmbH (MPC). The company was legally incorporated in Cologne on 10 April 2025 following approval by the German Federal Cartel Office.

 

The joint venture includes KNDS Deutschland, KNDS France, Rheinmetall Landsysteme and Thales as founding partners. Dipl. Ing. Dipl. Wirt. Ing. and Colonel (G.S. German Armed Forces Reserve) Stefan Gramolla has been appointed as managing director.

The company will act as the industrial prime contractor for the next phase of the MGCS programme. This stage involves consolidating the system’s concept and defining its main technological pillars.



“After the upcoming negotiation of a contract with the Federal Office for Equipment, Information Technology and In-Service Support of the Bundeswehr (BAAINBw), which is acting on behalf of the two nations through a Franco-German Combined Project Team (CPT), this project company will be responsible for implementing the next phase of the MGCS programme,” the partners confirmed in a joint statement. The MPC’s role will be critical in transitioning the programme from development to implementation.

Initiated by the French and German governments, the MGCS project aims to replace the current Leopard 2 and Leclerc main battle tanks. The replacement will take the form of a multi-platform ground combat system expected to enter service by 2040.

KNDS, a key partner in the MPC, was formed through the merger of Krauss-Maffei Wegmann (KMW) of Germany and Nexter of France. The group currently employs over 10,000 people and recorded a turnover of €3.8 billion in 2024.



Its order backlog stands at approximately €23.5 billion, with €11.2 billion in new orders recorded. KNDS’s extensive portfolio includes main battle tanks, armoured vehicles, artillery systems, and various support and training solutions.

The creation of KNDS marked a strategic consolidation of Europe’s land defence sector. The alliance enhances the competitiveness and international presence of both member companies.

It also promotes standardisation and interoperability among European and NATO forces, supported by a reliable industrial foundation. KNDS’s headquarters are located in Amsterdam.

 

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