ATACMS Co-Production with Lockheed Martin and Rheinmetall

Lockheed Martin and Rheinmetall are pushing forward the first ATACMS co-production in Europe. The two companies announced this on Tuesday. With the support of the governments of the United States and Germany, a joint venture is to be established that creates a European competence center for the manufacture, integration, and deployment of ATACMS for NATO and allied European forces. The corresponding Memorandum of Understanding was signed within the framework of the NATO Summit Defense Industry Forum.

The agreement addresses the immediate need for locally produced ammunition in Europe and marks the next step in expanding European production capacities for battle-tested precision weapons. “This partnership marks a decisive moment for European security and the industrial cooperation of the allies. By combining Lockheed Martin’s leading expertise in missile systems with Rheinmetall’s manufacturing excellence, we will provide our allies with battle-tested capabilities faster and more efficiently,” said Jay Pitman, President, Lockheed Martin International.

The Only ATACMS Production Facility Outside the USA

Dennis Goege, Chief Executive Europe at Lockheed Martin, added: “The establishment of ATACMS co-production in Germany is a strong signal for the European defense industry and NATO resilience. The partnership combines proven U.S. technology with European manufacturing strength, creates industrial value in Germany, and expands the capacities that allies need in light of growing security demands.”

And Armin Papperger, CEO of Rheinmetall AG, supplemented: “Together with our friends at Lockheed Martin, we are now creating in Germany the industrial basis for modern defense systems that are in high demand by Europe’s armed forces. With the construction of the ATACMS production at the Rheinmetall site in Unterlüß, we are creating new capabilities for Germany and Europe, ensuring the supply of our customers and strengthening our defense-political autonomy. We are grateful that Rheinmetall has been chosen to build and operate the world’s first and only production facility for ATACMS missiles outside the United States.”

Co-production Aims to Strengthen Deterrence and the Economy

The Unterlüß site of Rheinmetall was brought into operation more than 125 years ago and counts among the company’s key locations. In total, around 4,000 employees work there. Core competencies include, according to Rheinmetall, the production of weapons systems and ammunition as well as the development, manufacture, and maintenance of tracked vehicles. Last year, the Niedersachsen plant for artillery ammunition was put into operation there. A factory for rocket motors is currently nearing completion. Production of rocket motors and components for guided missiles is expected to begin as early as 2027.

The co-production of ATACMS missiles in Europe, the two partners say, will strengthen the deterrence capabilities of the allies as well as the economy on both sides of the Atlantic. ATACMS has demonstrated its operational effectiveness, precision, and reliability over decades in high-intensity conflicts. In light of the high global demand, Lockheed Martin will continue to operate its existing production line in Camden, Arkansas, until the transition is complete. The agreement underscores Lockheed Martin’s commitment to Europe and the establishment of long-term co-production with European industry.

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