Rheinmetall To Build €275m Munitions Factory In Latvia

A British Army Archer artillery system getting ready to fire in Sweden; the system fires 155mm rounds and Latvia is acquiring 18 such systems from Sweden.
A British Army Archer artillery system getting ready to fire in Sweden; the system fires 155mm rounds and Latvia is acquiring 18 such systems from Sweden. Image: Ministry of Defence © Crown copyright 2024

German defence giant Rheinmetall is set to invest €275 million to build a new factory producing 155mm calibre artillery ammunition in Latvia.

The news, announced via a company press statement this week, follows the country’s decision back in June to purchase 18 Archer 8×8 wheeled artillery systems for its National Armed Forces; the Archer systems fire 155mm shells.

Rheinmetall’s statement revealed construction work on the state-of-the-art production facility will begin next year, and the factory should begin producing ammunition in 2027.

Latvian Prime Minister Evika Siliņa was present in Hamburg this week when a Memorandum of Understanding (MoU) proposing to build the new facility was signed by Rheinmetall Waffe Munition and the Latvian State Defence Corporation.

PM Siliņa said: “Signing this MoU is a clear step towards strengthening Latvia’s security and developing our defence industry.

“By aiming to establish partnership with Rheinmetall, Latvia not only builds stronger national defence, but also contributes to security of supply in Europe, enhancing industrial capacity as well as facilitating economic growth.”

Armin Papperger, CEO of Rheinmetall AG added: “We are delighted to be able to contribute to Latvia’s national sovereignty in the field of ammunition. At the same time, the production line will strengthen our position as the world’s leading manufacturer of artillery ammunition.”

Late last year Rheinmetall signed a similar agreement with the country’s neighbour Lithuania to build an artillery ammunition factory; construction of this plant in Baisogala in central Lithuania is set to begin in a few weeks.

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