The German company Rheinmetall is negotiating the establishment of a production line for 155mm artillery shells in Ukraine.

This is reported on the company’s official website.

The defense giant plans to expand cooperation in key areas as part of the cooperation agreement signed between the company and Ukraine in Berlin.

One of these areas is the production of artillery shells, which are currently one of the key weapons on the battlefield in Ukraine and which have a very high consumption rate in small areas of the frontline.

“With this agreement, we confirm our intention to continue our cooperation in the coming years and create a corresponding framework. Specifically, we are already in talks to establish a joint venture for the production of artillery ammunition in Ukraine,” Armin Papperger, CEO of Rheinmetall AG, said.

As part of the signed cooperation agreement, the German company may invest significant funds in the development of the Ukrainian defense industry, which, according to Kamyshyn, was in decline.

“The Ukrainian defense industry has been in decline for decades. But today, it is reviving and making a significant contribution to Ukraine’s economic recovery – also thanks to partners like Rheinmetall. We are very grateful for your support and your confidence in the Ukrainian defense industry and our gunsmiths,” Oleksandr Kamyshin, Minister of Strategic Industries of Ukraine, noted.

In February 2024, the company already announced its intention to produce a six-figure number of 155-mm artillery shells per year in Ukraine. The joint venture will also produce metal charges.

Production is planned at a joint venture called the Ukrainian Competence Center for Ammunition.

Ownership will be split between Rheinmetall (51%) and Ukrainian companies (49%).

Militarnyi previously reported on the Rheinmetall’s first joint armored vehicle repair and production facility with the Ukrainian Defense Industry JSC that was launched in Ukraine.

Currently, the main purpose of the new site is to repair military equipment produced by the German concern Rheinmetall.