Lithuania and Rheinmetall Boost Defence Production with New Propellant Plant

In a strategic move to enhance defence capabilities, Lithuania has inked a memorandum of understanding with the German defence giant Rheinmetall. The agreement aims to set up a propellant production facility, cementing Lithuania's role in the military supply chain.

Rheinmetall's ambitious project, entailing a 300 million euro investment, is expected to culminate in the operation of a 155 mm artillery ammunition plant by 2026. The facility will eventually ramp up production to output tens of thousands of projectiles annually, bolstering Lithuania's defence assets.

Moreover, the establishment of a Centre of Excellence further underscores the project's significance. This facility will focus on the manufacture of hundreds of thousands of propellant modules annually, addressing current bottlenecks in Europe's powder and propellant systems. Lithuanian President Gitanas Nauseda and Rheinmetall CEO Armin Papperger underline the venture's critical importance and potential for the region.