Defense giants unite to boost European missile capabilities amid growing Russia’s threat

As Europe mobilizes an unprecedented €800 billion to rebuild its military capabilities against the Russian threat, defense giants Rheinmetall and Lockheed Martin have formed a strategic alliance to produce missiles and ammunition.
155mm artillery ammunition
155mm artillery ammunition. Photo: mil.in.ua
Defense giants unite to boost European missile capabilities amid growing Russia’s threat

German defense giant Rheinmetall and US company Lockheed Martin have agreed to expand their cooperation to boost missile and ammunition production in Europe.

The EU is undertaking an unprecedented defense buildup in response to Russia’s threat. It plans to mobilize up to €800 billion through EU-guaranteed loans and fiscal rule adjustments. This historic rearmament push, formalized in a Defense White Paper unveiled in March 2025, aims to strengthen Europe’s defense industrial readiness by 2030 through joint weapons development, increased domestic production, and reduced dependence on American military hardware. 

Rheinmetall has announced that the companies have signed a memorandum of understanding to establish a European center of excellence for missile and missile system production and distribution. The initiative aims to strengthen Europe’s security and strategic independence.

Led by Rheinmetall, the center will operate primarily in Germany and other European countries. The companies are currently determining the next steps in the project’s implementation, which remains subject to approval by the US and German governments.

The project will combine the strengths of both firms to meet growing military demand: Rheinmetall, a leading systems supplier with access to multiple European markets, and Lockheed Martin, a top global producer of missiles and missile systems.

Rheinmetall CEO Armin Papperger has emphasized that the two companies complement each other well, combining specialized skills and advanced technological expertise.

Lockheed Martin has been a partner of the German industry for over 50 years and continues to deepen its cooperation with companies like Rheinmetall, which is known for its cutting-edge capabilities, writes Militarnyi

As part of the international supply chain for the F-35 Lightning II fifth-generation fighter jet, Rheinmetall will begin production of the first of approximately 400 center fuselage sections for the F-35A in July 2025.

In 2023, Rheinmetall and Lockheed Martin also teamed up to jointly develop the GMARS (Global Mobile Artillery Rocket System) to address the growing demand for long-range rocket artillery. The system was unveiled to the public at the Eurosatory defense exhibition in Paris in summer 2024.

Rheinmetall has also established itself as a crucial partner for Ukraine during the ongoing war with Russia. The company has formed a joint venture with the Ukrainian state-owned defense company Ukroboronprom. This partnership aims to enable local production of military equipment, including an ammunition factory and Lynx armored personnel carriers.

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