2024-10-15 11:57:00
Rheinmetall and Leonardo found a tank company
A new heavyweight is emerging in the European defense industry. The new German-Italian company is supposed to develop main battle tanks.
The Rheinmetall Lynx infantry fighting vehicle will serve as the basis for the production of new vehicles: Rheinmetall plant in Unterlüss, Germany.
Photo: Hannibal Hanschke (EPA, Keystone)
The German arms company Rheinmetall and the Italian weapons manufacturer Leonardo found a joint company. Both hold 50 percent of the shares, the partners announced in Rome. They expect formal approval from the authorities by the beginning of 2025. The first major order is an order from the Italian army with a total value of more than 20 billion euros.
The new company will have its headquarters in Rome. The operational center is to be located in the northern Italian port city of La Spezia, where Leonardo already has a factory. 60 percent of the activities should be in Italy. This primarily involves the construction of main battle and infantry fighting vehicles – also for the armies of other countries in Europe and beyond.
“New heavyweight in European tank construction”
The “Panther” developed by Rheinmetall is to be the basis for the new steel colossus of battle tanks and the Rheinmetall Lynx infantry fighting vehicle is to be the basis for the new infantry fighting vehicle. The project was made public in July when the two companies signed a letter of intent.
A Panther KF51 in front of the Rheinmetall factory in Unterlüss, Germany.
Photo: Julian Stratenschulte (Keystone)
“We are creating a new heavyweight in European tank construction,” said Rheinmetall boss Armin Papperger. The aim is “primarily the Italian market, but in the future also other partner states that need modernization in the area of their combat systems”. Leonardo CEO Roberto Cingolani said they wanted to develop cutting-edge technologies that would be competitive on an international level.
Demand has increased since the Ukraine war
The Italian Leonardo Group emerged from the former state-owned company Finmeccanica. The Italian state is still the largest individual shareholder today. With more than 50,000 employees, Leonardo recently achieved annual sales of more than 15 billion euros. The Italians are also involved in the construction of the F-35 and Eurofighter fighter jets, as well as suppliers to Airbus and Boeing.
Rheinmetall is Germany’s largest arms company, with sales of 7.2 billion euros in 2023 and 34,000 employees. The Düsseldorf-based company’s order books are fuller than ever since the start of the Ukraine war in 2022 demand is going through the roof.
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