Under the agreement, Reliance will supply explosives and propellants for medium- and large-calibre ammunition to Rheinmetall. The companies also plan to engage in joint marketing activities and explore further cooperation based on future opportunities.
To support the partnership, Reliance will establish a greenfield manufacturing facility in the Watad Industrial Area of Ratnagiri, Maharashtra. The facility will be one of the largest in South Asia, with annual production capacity of up to 200,000 artillery shells, 10,000 tonnes of explosives, and 2,000 tonnes of propellants.
The cooperation enhances Rheinmetall’s access to critical raw materials and secures its supply chains for the benefit of its global customer base. In India, the facility will contribute significantly to meeting the needs of the armed forces and advancing national defence objectives.
Armin Papperger, CEO of Rheinmetall AG, stated: “This Strategic Partnership of Rheinmetall with Reliance Defence led by Anil Ambani’s Reliance Group illustrates our strong commitment to partner with India under the strong leadership of Prime Minister Modi.” He emphasised the long-term strategic value of this cooperation.
Anil Ambani, founder of the Reliance Group, commented: “We are delighted to partner with Rheinmetall AG, a global major in Defence Industry and a visionary leader like Armin Papperger. This is a transformational moment for the Indian Defence sector and for Reliance Infrastructure’s subsidiary Reliance Defence.”
Reliance Defence recently announced an integrated project for manufacturing explosives, ammunition and small arms under the Dhirubhai Ambani Defence City (DADC) banner. Located in the same industrial area, DADC will become the largest greenfield defence sector project developed by a private Indian company.
