According to CEO Armin Papperger, the German company currently has the capacity to manufacture 450,000 artillery rounds annually. While this represents a significant quantity, it falls short of meeting the growing demand in the European defence market.
In an interview with the German newspaper RND, the Rheinmetall CEO announced that upon finalising the acquisition of the Spanish company Expal Systems (anticipated to be completed this summer), the production capacity will rise to around 600,000 artillery rounds per year.
The production capabilities of other European manufacturers are substantial but inadequate in the current situation. Consequently, for Ukraine to receive the promised one million pieces of artillery ammunition from the European Union within the designated timeframe, the armed forces of European nations will need to delve deeper into their own reserves. This, in turn, will fuel even greater demand for artillery ammunition in Europe.
In addition to the acquisition of the Spanish company Expal Systems, Rheinmetall is expanding its production capacity based on its existing industrial infrastructure. The company’s CEO highlighted in the RND interview that Rheinmetall is hiring a significant number of new employees, establishing new supply chains, and reactivating preserved production machinery. The company has also developed plans for constructing a new propellant factory in Germany, although a final decision on proceeding with this investment has yet to be made.
