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German arms company opens plant in Romania to help Ukraine: what is known

The plant will support military vehicles of the Ukrainian army

The German concern Rheinmetall has opened a defense plant in the Romanian city of Medias. The company will help Ukraine, in particular, by servicing military vehicles.

The plant will be operated by Romanian car manufacturer Automecanica SRL. This was reported by the Rheinmetall press service.

On February 1, the German company acquired a 72.5% stake in the Romanian military equipment manufacturer Automecanica Medias, which now operates under the name Rheinmetall Automecanica SRL. The remaining shares remain in private hands, Militarny writes.

Rheinmetall forecasts the plant's annual sales potential at approximately EUR 300 million and expects orders to reach the triple-digit million euro range in 2024.

Automecanica Medias specialized in the production of special vehicles, truck modifications and trailers for the civilian and military markets. The company has been cooperating with Rheinmetall since 2022, joining forces to manage a military equipment maintenance and repair facility in Romania.

Rheinmetall expects the plant to maintain military vehicles of the Ukrainian army and provide logistics support.

"The Mediash plant is designed to play a key role in maintaining the operational readiness of Western-made military vehicles in Ukraine," Rheinmetall said.

German arms company opens plant in Romania to help Ukraine: what is known

It is worth noting that Rheinmetall AG is a German concern, one of the largest manufacturers of military equipment and weapons in Europe (the company ranks 29th in the world in terms of sales of military products).

Last year, Rheinmetall established its first joint venture with a Ukrainian partner to service and repair tanks in Ukraine.

In February of this year, it was announced that a memorandum on the production of Rheinmetall ammunition in Ukraine was signed in Munich.

After that, Armin Papperger said that Rheinmetall plans to set up at least four plants in Ukraine to produce shells, military equipment, gunpowder and anti-aircraft weapons.

"Ukraine is now an important partner for us. We see a potential of 2-3 billion euros a year here," Papperger said.

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