#Germany #Lockheed Martin #Rheinmetall #ATACMS #Unterluess

Lockheed Martin and Rheinmetall's Strategic Partnership for ATACMS Production

In a groundbreaking announcement during the NATO Summit Defense Industry Forum, Lockheed Martin (NYSE: LMT) and Rheinmetall have solidified their collaboration by signing a memorandum of understanding (MOU) aimed at addressing the pressing need for locally manufactured munitions in Europe. This partnership is bolstered by support from both the United States and German governments and is crucial for establishing a joint venture that will create a European center of excellence for the manufacturing, integration, and distribution of ATACMS missiles across NATO and allied forces in Europe.

A Transformative Moment for European Security

Jay Pitman, President of Lockheed Martin International, expressed that this partnership signifies a pivotal moment for enhancing European security and strengthening industrial collaboration among allies. He emphasized that by leveraging Lockheed Martin's superior missile technology and Rheinmetall's manufacturing expertise, they can deliver proven capabilities more efficiently and swiftly to their partners.

Dennis Goege, Lockheed Martin's Chief Executive for Europe, echoed these sentiments, asserting that the establishment of ATACMS production in Germany sends a strong message about the resilience of Europe’s defense sector. This collaboration integrates tried-and-tested U.S. technology with European manufacturing prowess, yielding significant industrial benefits within Germany while increasing the capacity needed to meet the escalating security demands faced by allied forces.

Rheinmetall's Commitment to Defense Innovation

Rheinmetall’s CEO, Armin Papperger, highlighted that their objective is to fortify the defense capabilities of Germany and Europe. By joining forces with Lockheed Martin, they are laying the foundation for a robust industrial base in Germany that will produce advanced defense systems sought after by European armed forces. This initiative at Rheinmetall’s Unterluess facility, historically significant with a legacy of over 125 years, is expected to create new capabilities for the German and European markets while ensuring a reliable supply chain for clients.

The Unterluess site, which employs around 4,000 people, is recognized for its competencies in weapon systems, ammunition production, and manufacturing, along with the maintenance of tracked vehicles. Moreover, being the largest privately-owned firing range in Europe, it is poised for further development, with a modern artillery ammunition production facility that recently commenced operations. Production for rocket motors and guided missile components is also set to start by 2027.

Enhancing Allied Deterrence through Local Production

This cooperative effort to manufacture ATACMS missiles on European soil not only enhances local production capabilities but also strengthens deterrence for allied forces, thereby contributing to the economies on both sides of the Atlantic. The ATACMS missile system has a well-established track record, proving its operational effectiveness and reliability in various high-intensity conflicts, thus meeting the growing global demand.

Lockheed Martin will maintain its existing production line in Camden, Arkansas, during the transition phase, thus ensuring the continued availability of ATACMS missiles while the new facility ramps up production.

This agreement signifies Lockheed Martin's unwavering commitment to Europe, fostering long-term co-production relationships with European industries and customers. Having partnered for over 75 years, Lockheed Martin remains dedicated to supporting clients and allies across the region, cementing its role as a key player in European defense and security.

About the Companies

Lockheed Martin is a leading global defense technology company specializing in the development of advanced aerospace, missile, fire control, security, and space systems. Committed to delivering transformational technologies, Lockheed Martin's vision, 21st Century Security®, focuses on keeping its customers ahead of emerging threats in a fast-evolving global landscape.

Rheinmetall AG, headquartered in Düsseldorf, Germany, is a prominent integrated technology group, employing approximately 34,000 individuals across 160 locations. Renowned for its innovation in the defense sector, Rheinmetall excels at delivering both defense systems and sustainable solutions, integrated into their strategic approach for future advancements in technology and civil sectors.