Image: Rheinmetall
Rheinmetall has secured the largest international contract package in the company’s recent history. Romania has now commissioned the Düsseldorf-based technology group to carry out extensive defence projects.
The contract package was awarded on 29 May 2026 by the Directorate General for Armaments and falls under the European Union’s Security Action for Europe (SAFE) programme. The contracts for the manufacture of combat vehicles, air defence systems, ammunition and ammunition components and naval vessels have a total value of €5.7 billion. The relevant contracts have now been signed. To fulfil the orders, Rheinmetall will significantly expand its existing capacities in Romania, which have been in place for many years, and will also ensure technology transfer. A large proportion of the value added will be generated in this NATO and EU member state. Deliveries are scheduled to begin 2028 and be completed by 2030.
The defence projects now commissioned include:
- 298 Lynx vehicles, a latest-generation family of combat vehicles. The majority will be armoured personnel carriers, along with reconnaissance, command post and medical variants;
- Skyranger air defence systems, also based on the Lynx. Until these are introduced, Rheinmetall will keep the Gepard anti-aircraft gun armoured vehicles currently in use operational;
- medium-calibre ammunition for air defence and armoured personnel carriers;
- two offshore patrol vessels;
- two diver support vessels. All vessels are based on the proven design of the new Naval Systems segment.
Rheinmetall is set to invest several hundred million euros in Romania, with a significant proportion of the value added being generated in this NATO and EU member state on the Alliance’s eastern flank. The project is expected to create thousands of new jobs. Over 200 subcontractors will be integrated into the supply network.
Romania is already one of Rheinmetall’s home markets. Its subsidiary Rheinmetall Automecanica, based in Medias, has been active there for many years. The major contracts now awarded will also be carried out at other sites.
Mihai Jurca, Head of the Prime Minister’s Office and Coordinator of the inter-institutional working group on the implementation of the SAFE Plan, said: “The contract concluded between the Romanian authorities and Rheinmetall represents not only an opportunity to modernise Romania’s defence capabilities, but also an important step towards revitalising the national defence industry, as over 50% of production will take place in Romania or in collaboration with local companies. It marks the beginning of a new phase of industrial development that has the potential to become a key driver of Romania’s economic growth and the integration of local industry into the European ecosystem over the next decade.”
“This is a significant success for us. We are grateful for the trust that Romania has placed in us regarding the equipping and modernisation of its armed forces,” said Armin Papperger, CEO of Rheinmetall AG. “Together with our Romanian partners, we will establish a far-reaching defence ecosystem here. This also confirms our ambition to further expand our role as one of the industrial pillars of European security.”
Source: Rheinmetall Press Release
