The largest ammunition manufacturer in Europe, "Rheinmetall", wants to build an artillery shell factory in Latvia. The concern also has projects in Bulgaria, Romania, Lithuania and Ukraine.
"Rheinmetall" is planning to build an ammunition factory in Latvia, and the corresponding letter of intent was signed in the presence of Latvian Prime Minister Evika Silinja in Hamburg. It is planned to create a joint venture in which the German concern will hold 51 percent and the Latvian side 49 percent.
The facility, which will have an annual capacity of several tens of thousands of artillery shells, will see an investment of 275 million euros in Latvia, and 150 new jobs will be created. By producing its own 155-mm ammunition, Latvia is taking another step towards strengthening its defense capabilities, notes ARD.
The ammunition needs of Western armies are growing
"Rheinmetall" intends to meet the growing needs of the Bundeswehr, other Western armies, as well as Ukrainian troops due to the growing threat from Russia. The concern announced that from 2027 onwards it plans to produce 1.5 million artillery shells per year.
"Through the construction, we will expand our position as the world's leading manufacturer of artillery shells," said the head of "Rheinmetall" Armin Paperger. "I am convinced that we will establish similar partnerships for the production of ammunition in other countries."
The Düsseldorf concern is increasing its production capacities against the backdrop of Russia's war against Ukraine, writes ARD. The German public media recalls that very recently, in early August, a new "Rheinmetall" factory was opened in Unterluß, Lower Saxony. New production facilities are also being prepared in Lithuania, Romania, Bulgaria and Ukraine.
What will be the capacities in Bulgaria?
When asked by the State Department, "Rheinmetall" replied that the intentions in Bulgaria are to build a factory for 155-mm artillery shells and a second one for gunpowder. The first of them should provide several hundred thousand shells annually, and for this purpose "Rheinmetall" intends to invest several million euros. It is planned that the factories will start operating two years after the start of construction. The gunpowder production capacity in Bulgaria should provide the relevant components for hundreds of thousands of artillery shells. In addition, it is planned to produce over a thousand tons of gunpowder for the needs of the Bulgarian arms industry.
The planned factories in Bulgaria and Romania should become part of the European defense system, Rheinmetall also stated in its response to the State Department. The aim is to establish a strategic partnership.