Rheinmetall AG has confirmed that the launch of its planned ammunition production facility in Ukraine is running behind schedule, after Ukrainian partners opted to relocate the site, according to the company’s chairman Armin Papperger.
“The establishment of the ammunition facility in Ukraine is regrettably behind schedule,” Papperger said, noting that the plant had been expected to be operational already. He explained that the delay was caused by a request from the Ukrainian side to move the project to a new location. Rheinmetall now expects operations to begin within one year of construction being completed.
Beyond ammunition production, Rheinmetall is also planning to manufacture combat vehicles in Ukraine, including the Fuchs armored personnel carrier, the Lynx infantry fighting vehicle, and the Panther main battle tank. Papperger said the relevant contract for vehicle production is still pending and will require significant financing.
He added that local manufacturing would only be economically viable if Rheinmetall is able to produce between 200 and 300 vehicles, underlining the scale required to justify the investment. Land for the new production site was allocated by Ukraine in September, according to the company.
Rheinmetall’s broader strategy in Ukraine предусматриває the establishment of three separate facilities: one focused on the production and maintenance of air defense systems, a second dedicated to the assembly and repair of armored vehicles, and a third specializing in ammunition manufacturing.
The projects form part of Rheinmetall’s longer-term plan to support Ukraine’s defense capabilities through localized industrial production, while also expanding the company’s manufacturing footprint closer to areas of operational demand.
