Lockheed Martin and Rheinmetall will create a missile production center in Europe

U.S. aerospace corporation Lockheed Martin and German defense giant Rheinmetall have signed a memorandum of understanding to launch missile and ammunition production in Europe, Rheinmetall representatives announced.

The two companies aim to deepen their cooperation by establishing a European center of excellence focused on the development, manufacturing, and distribution of missile systems. The project’s primary goal is to strengthen Europe’s defense capabilities and strategic autonomy.

The new center, to be led by Rheinmetall, will be based primarily in Germany and other European countries. The partnership is expected to combine Rheinmetall’s market access and infrastructure across the EU with Lockheed Martin’s technological leadership in missile systems.

The companies have already begun planning the next steps for implementation, though the launch of the center will require approval from the U.S. and German governments.

Rheinmetall remains a key producer of 155mm artillery shells — a type of ammunition playing a crucial role in the ongoing war in Ukraine. In December 2024, the company signed an agreement with Lithuanian partners to build a shell production facility in Baisogala, with a projected cost of around €260 million.

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