MoU Signed to Set up Rheinmetall Ammunition Factory in Lithuania

Lithuanian institutions and the German company Rheinmetall signed a Memorandum of Understanding for the construction of an ammunition factory in Lithuania.

The signatories included Minister of Economy and Innovation Aušrinė Armonaitė, Minister of National Defence Laurynas Kasčiūnas, and Maximilian Froch from Rheinmetall AG.

The memorandum outlines plans to commence construction of a 155 mm ammunition factory in Lithuania at the earliest opportunity, along with the necessary preparatory steps.

Minister Laurynas Kasčiūnas emphasized the importance of reducing dependency on lengthy supply chains for military provision by establishing local defense infrastructure with Rheinmetall's involvement. He underscored the strategic value of this cooperation in enhancing Lithuania's defense industry and bilateral relations with Germany.

The specific details of the letter of intent have not been made public yet. Large-scale investment projects typically involve special investment and business conditions.

According to Economy and Innovation Minister Aušrinė Armonaitė, Lithuania anticipates that major construction, including the factory, will commence later this year, although these plans are currently in the conceptual stage.

The minister mentioned that she is unable to provide precise details on Lithuania's contribution to the project at this time. However, she indicated that the country could support the development of necessary infrastructure for the facility and potentially procure ammunition manufactured by the factory for its military requirements.

Reports from Lithuanian media suggest that state-owned land in the northern Lithuanian district of Radviliškis is under consideration as a potential location for Rheinmetall's factory.