Lithuania Teams Up with Rheinmetall for Military Manufacturing Boost

Lithuania has signed a memorandum with German defence firm Rheinmetall to produce propellants locally. A factory costing 300 million euros is under construction and expected to open in 2026. The plant will manufacture artillery ammunition and a propellant Centre of Excellence will produce hundreds of thousands of modules annually.

In a strategic move to boost its military production capabilities, Lithuania has signed a memorandum of understanding with German defence giant Rheinmetall. The agreement will pave the way for the local production of propellants, enhancing Lithuania's defense infrastructure.

Rheinmetall broke ground on a new 300 million euro artillery ammunition factory in Lithuania, set to become operational in the latter half of 2026. Once fully functional, the factory is expected to produce tens of thousands of projectiles annually, significantly bolstering the nation's defense manufacturing capacity.

The newly unveiled Centre of Excellence will be a pivotal addition, focusing on producing several hundred thousand propellant modules each year. The initiative reflects Lithuania's steady ambitions and potential, further supported by its partnership with Rheinmetall, which maintains a strong presence in the region through additional projects.

(With inputs from agencies.)