In the Romanian city of Mediaș, the German concern Rheinmetall has opened a defense plant that will support Ukraine’s military vehicles.

The concern said that the Romanian vehicle manufacturer Automecanica SRL would be working there.

On February 1, the German company acquired a controlling stake of 72.5% in the Romanian vehicle manufacturer Automecanica Medias, which has since been operating in Romania under the name Rheinmetall Automecanica SRL.

The rest of the company’s shares will remain in private hands.

Rheinmetall estimates the company’s annual sales potential at approximately €300 million and expects orders to be in the triple-digit million euro range in 2024.

Automecanica Mediaș is a longstanding maker of special vehicles, truck build-ons and trailers for the civilian and military market.

Rheinmetall has been cooperating with Automecanica since 2022, when the two partners joined forces to operate a maintenance and repair facility for military vehicles in Romania.

Rheinmetall expects the plant to support military vehicles of the Ukrainian army and provide logistics support.

“The plant in Mediaș, Romania is poised to play a key role in maintaining the operational readiness of Western-built combat vehicles in Ukraine,” Rheinmetall said.

The new plant in Romania will provide NATO forces deployed on the eastern flank of the alliance with faster and more secure supply chains.

In addition to trucks, the Lynx infantry fighting vehicle was presented at the opening. Rheinmetall is offering this vehicle for the Romanian infantry fighting vehicle procurement program.

In May it became known that Rheinmetall planned to establish another joint venture in Ukraine that would specialize in air defense systems.