The Bundeswehr has ordered more than a hundred armored vehicles from the Rheinmetall arms company. In total, the order is worth 2.7 billion euros. The vehicles will not only be produced in Germany.
Rheinmetall has secured a new major order worth billions from the Bundeswehr. After the Budget Committee of the German Bundestag approved the proposal yesterday, the Düsseldorf-based company announced today that it had signed a contract for the delivery of up to 123 armored vehicles.
“We are very proud to be able to supply the heavy weapon carrier infantry, an essential element for the new force category of the German Army, the ‘Medium Forces’,” said Rheinmetall boss Armin Papperger.
The contract value also includes services and is around 2.7 billion euros. Delivery of the “Heavy Weapons Carrier Infantry” based on the Boxer wheeled armored vehicle should begin in 2025. They are then supposed to replace the weapons carrier Wiesel in the Bundeswehr.
Production also in Australia
“In order to be able to provide the army with the combat vehicles it needs as quickly as possible, we are integrating not only our German but also our Australian locations into our Rheinmetall network,” said the Rheinmetall boss. In Australia, Rheinmetall is the largest supplier of military vehicles to the armed forces there and says it has more than 900 employees.
“We welcome the close defense industrial partnership between Australia and Germany as the two nations work together to enhance global security,” said Nathan Poyner, managing director of Rheinmetall Defense Australia.
The share is heading towards the 500 euro mark
The Russian attack on Ukraine brought about an economic turnaround for Western arms companies like Rheinmetall. The industry is now needed more to strengthen the Bundeswehr and the troops of the NATO countries.
Investors reacted happily on the stock market: the shares recently gained around three percent. This means that Rheinmetall shares are gradually heading towards the 500 euro mark.