One of Germany's largest defense companies, Rheinmetall, plans to start producing 155-mm artillery ammunition in 2026 at a plant currently under construction in Ukraine. Its capacity may be greater than previously expected, German Aid to Ukraine reports.
Initially, the company's production volume was planned to be 150,000 artillery shells per year. However, CEO Armin Papperger said in an interview with Handelsblatt a few months ago that production would be expanded again and production capacity "significantly increased."
Now, in a conference call on August 7, 2025, Papperger said that Ukrainian officials want to double the planned production capacity. Thus, the new plant will be able to produce 300,000 155-mm shells annually, although it will take one to two years to reach that level.
At the same time, Papperger announced that there is no talk of more than 300 thousand shells yet, since the Ukrainian government does not have the money for this. In addition, there are problems with the Ukrainian bureaucracy. According to Armin Papperger, he is dissatisfied with the speed of the project's progress.
He gave the example of a new factory in the city of Unterlus in Lower Saxony. The factories there and in Ukraine began construction almost simultaneously, with construction now complete in Unterlus, but not in Ukraine.
Papperger has previously made similar statements about Ukrainian bureaucracy, but one of the sources of German Aid to Ukraine reports that problems with bureaucracy in Ukraine are also relevant for other companies. However, according to the publication, they are not so great as to seriously slow down the construction of the plant, so there is every chance of starting production next year.
It was previously reported that Rheinmetall plans to produce infantry fighting vehicles, ammunition, and powder charges in Romania. It is also planned to establish a training center there.