EUR130M in EU Funding for Rheinmetall to Expand Ammunition P
Stay informed with our
free newsletters

Mar 27, 2024

EUR130M in EU Funding for Rheinmetall to Expand Ammunition Production

  • Act of Support in Ammunition Production of the EU to promote the production of ammunition
  • More than EUR130 million go to Rheinmetall
  • Six Rheinmetall projects in four European countries are being funded
  • First EU support measure to expand ammunition production

Rheinmetall receives over €130 million in funding from the European Union to increase the production of ammunition. Hence, more than a quarter of the total sum of €500 million awarded by the EU under the Act of Support in Ammunition Production (ASAP) in order to expand the production of 155mm artillery ammunition and powder will be channelled into a total of six projects by Rheinmetall AG's European subsidiaries. The programme will support projects in Germany, Hungary, Romania and Spain.

ASAP is the first EU funding programme for the expansion of ammunition production. The corresponding grant agreements are expected to be signed in May 2024.

"We are grateful that the European Union has placed its trust in us as one of the most important European suppliers of 155mm ammunition, to significantly consider us in its funding programme", says Armin Papperger, CEO of Rheinmetall AG. "The great importance of artillery is evident from the Ukraine's battle to defend its country. The European armed forces also need to replenish their stocks of artillery ammunition. We are ready for this and we are already working on it".

Military Ammunition - Market and Technology Forecast to 2031

Military Ammunition - Market and Technology Forecast to 2031

Market forecasts by Regions, by Calibre, and by End-User. Country Analysis, Market and Technology Overview, Opportunities and Scenario Analysis, and Leading Company Profiles

Download free sample pages More information

Rheinmetall has been increasing its production capacities since 2022 and the company aims at producing up to 1.1 million artillery shells per year by 2027. In addition, up to 1.5 million propellant modules and 3,000 tonnes of RDX explosives are to be produced annually starting in 2026.

Further tenders are expected in the future. In its recently published proposal for a European Defence Investment Programme (EDIP), the EU plans to promote the expansion of production capacities for other defence products.



Defence Exports 2024 Conference

Defence Exports 2024 Conference

London, United Kingdom
Sep 24 - 25, 2024

View agenda
Hypersonic Weapons Summit 2024

Hypersonic Weapons Summit 2024

Washington, DC
Sep 17 - 18, 2024

View agenda