Rheinmetall has signed a €1 billion deal with Bulgaria to establish a joint gunpowder and ammunition factory near Sopot, aiming to produce 100,000 NATO-standard artillery shells annually. The German company holds 51% of the shares in the new project.
Germany has ordered 20 new Eurofighter aircraft from Airbus to strengthen its Air Force capabilities. The fighters will feature upgraded radar and electronic warfare systems and will be delivered between 2031 and 2034 as part of Europe’s joint defence programme. The new aircraft will serve as a technological bridge to the Future Combat Air System, which is expected to enter service from 2040.
Leonardo and KNDS have entered into an agreement to offer the CAESAR Self-Propelled Howitzer to the U.S. Army. Leonardo DRS will act as prime contractor and KNDS as system designer and manufacturer, with the system proposed for integration on U.S. tactical vehicles.
Germany plans to order over 600 Skyranger air defence systems from Rheinmetall in a deal worth more than €9 billion to strengthen its drone defence. The mobile system, now in testing, can be mounted on Boxer and Leopard 1 vehicles and is designed to counter modern aerial threats, including drone swarms.
Over 56 percent of respondents polled by the opinion research institute Innofact said private investments in the arms industry were justifiable, in a significant change from 2022 when 53 percent of respondents still had reservations about investing in defence companies. Since then, the prospect of higher government defence spending in Germany and many other countries has driven many stocks to record highs.
Germany’s Federal Court of Audit warned that a ‘signal of unlimited willingness to incur debt’ could lead prices in defence industry to soar, with incentives for industry to charge higher prices for the same services due to ‘almost unlimited availability of financial resources and increased demand.’
Israel’s defence ministry reported that exports to Abraham Accords countries, alone, reached approximately USD 3 billion, amounting to 24 percent of Israeli weapons sales and exports of unmanned systems made up 25 percent of its exports.
