Rheinmetall in advanced talks with Romanian state company for ammunition joint venture

President Dan, referring to the state-owned Romarm group to which the Mediaș facility belongs, added: “We hope these negotiations will end in the shortest time possible.” He did not provide additional details on the scope or timeline of the potential agreement.

In his remarks, the Romanian President also addressed the EU’s SAFE programme, aimed at strengthening defence capabilities through joint European projects. “For the SAFE Programme, we are still in the phase where EU member states are proposing joint projects,” he noted.

President Dan explained that initial financial proposals are expected by the end of the month, with concrete partnerships to be defined by mid-next year. “So, we are in the exploration phase of partnerships we can establish,” he said.

The negotiations with Romarm’s Mediaș facility come amid Rheinmetall’s growing presence in Romania’s defence industry. Earlier this year, the company acquired a 72.5 percent majority stake in Romanian military vehicle manufacturer Automecanica Mediaș S.R.L., which has since been rebranded Rheinmetall Automecanica.

The newly established subsidiary is expected to produce and maintain the Lynx KF41 infantry fighting vehicles and HX tactical trucks, as well as support air defence platforms for the Romanian Armed Forces. Rheinmetall also showcased its Lynx KF41 and Skynex short-range air defence system at the Black Sea Defence & Aerospace exhibition in Bucharest, offering them to the Romanian military.

In addition, Rheinmetall and Romarm are working together on building a new powder (propellant) factory in Romania, supported by a €47 million EU grant under the ASAP programme. German technical teams are already on site to begin implementation of the facility.

Rheinmetall is also set to modernise Romania’s existing Oerlikon GDF-003 35 mm anti-aircraft systems, upgrading them to the GDF-009 configuration with advanced radars and fire-control systems. The €328 million modernisation project is planned to be carried out in phases through 2026.