The European defense giant, Rheinmetall, confirmed receiving an extensive order for 155mm artillery shells slated for Ukraine, deepening its ties with the German military through a framework agreement.
This significant order, the third of its kind, entails the provision of over one hundred thousand 155mm artillery shells. Notably, the shells will be sourced from Rheinmetall's new Spanish arm, Rheinmetall Expal Munitions. Furthermore, the order encompasses the addition of DM 121 high-explosive rounds. Though the German government is formally the buyer, all procured ammunition will be allocated to Ukraine. This transaction is pegged in the mid-three-digit million-euro bracket. A substantial portion of the ordered ammunition is scheduled for delivery in 2023, while the remainder is set to be dispatched in 2024.
Previously, in July 2023, Rheinmetall broadcasted the inception of a new artillery ammunition framework agreement with the Bundeswehr. This announcement also highlighted the extension of a pre-existing accord, collectively covering the delivery of several hundred thousand shells, fuses, and propelling charges.
The ongoing conflict in Ukraine has prompted many nations to restock their ammunition reserves. In light of this demand surge, Rheinmetall has secured multiple significant artillery ammunition contracts.
The recent framework agreement with the Bundeswehr, inked in July 2023, spans until 2029. The potential gross order volume from this agreement could reach a staggering €1.2 billion. Already, two extensive orders have been placed under this framework.
Rheinmetall's artillery ammunition portfolio is diverse. It comprises the potent DM121 high-explosive shell, the DM125 smoke projectile, the DM702 SMArt sensor fuse munition (a joint endeavor with Diehl), the RH68 practice round, and other specialized projectiles. The company also boasts the versatile 155mm Assegai ammunition line from Rheinmetall Denel Munition, offering a spectrum of ammunition types with a formidable range of around 40 kilometers. The Bundeswehr is set to incorporate the tried-and-true Assegai ammunition family into their arsenal under the latest framework agreement.
This collaboration between Rheinmetall and the Bundeswehr not only signifies a strengthening bond between the defense conglomerate and the German military but also underscores the global urgency to equip and support nations like Ukraine amidst rising tensions and conflicts. The international community will undoubtedly keep a close eye on how these developments might influence the dynamics of the situation in Ukraine and the broader geopolitical landscape.