Spanish Company to Supply Rheinmetall With 120mm Tank Barrels Under New Production Deal

Spanish defense manufacturer GDELS–Santa Bárbara Sistemas has reached an agreement with Germany’s Rheinmetall to resume licensed production of 120mm smoothbore tank guns in Spain, Infodefensa reported.

Production will take place in Trubia, where GDELS will manufacture the Rh120 gun under license.

The L44 and L55 versions of the weapon are currently used on Leopard 2 main battle tanks operated by Spain and numerous other European countries.

“The decision to restart this production line reflects rising demand for tank guns driven by evolving battlefield needs and the strategic imperative of national defense autonomy,” GDELS said in a statement.

Demand for Leopard 2 tanks has surged, with over 300 units currently on order. In response, KNDS Deutschland — formerly Krauss-Maffei Wegmann — is expanding its industrial network to increase production capacity.

Rheinmetall is also investing in the United Kingdom, where it is establishing infrastructure to manufacture the Rh120 L55A1 barrel variant for both the Challenger 3 and Leopard 2A8 tanks.

This complements the Spanish production agreement and is expected to accelerate output to meet growing demand across Europe.

In addition, KNDS Deutschland plans to involve Czechia in Leopard 2 assembly. A new turret assembly line is under discussion at the Excalibur Army facility in Šternberk.

Lithuania has also expressed interest in participating in Leopard 2A8 production through local partnerships. Negotiations are underway to establish a domestic assembly capability.

Lithuania Defense Services — a joint venture launched in 2022 by Rheinmetall and KNDS Deutschland — already operates in the country, supporting maintenance and repair of NATO military equipment.