Rheinmetall Receives €1.3B to Supply 155mm Ammo to German MoD

The German Bundeswehr awarded Rheinmetall a €1.3 billion order for service and practice artillery ammunition.

Two contracts to this effect have now been signed at the Federal Office for Bundeswehr Equipment, Information Technology and In-Service Support (BAAINBw) in Koblenz.

Rheinmetall said the need to replenish stores of ammunition caused by the war in Ukraine resulted in the contract award.

In all, the scope of delivery encompasses several hundred thousand shells of various types, including fuses and propelling charges. Set to run until 2029, the new framework contract represents potential order volume of around €1.2 billion.

Furthermore, the Bundeswehr has expanded an existing framework agreement for DM121 ammunition. In addition to the framework contract cited above, this represents order volume of around €137 million. The volume of the existing framework contract thus increases from €109 million to a total of €246 million.

Featuring insensitive characteristics, the DM121 high-explosive shell is used for training and exercise purposes.

Delivery of shells worth €127 million is due take place shortly.