"Artillery ammunition capacity to be twenty times greater"
Defense sector boss Papperger anticipates ongoing growth in German military spending. He discusses a collusive strategy with politics in an ntv interview, discussing the monumental contract that marks Rheinmetall's history.
Rheinmetall assures an enhanced production capacity, with crucial sectors already witnessing a tenfold augmentation, as per Armin Papperger in the ntv interview. He further emphasized, "By 2026, our artillery ammunition production will be amplified twentyfold."
The mammoth contract, secured due to the Ukraine conflict last week, earmarked Rheinmetall for a deals with the Bundeswehr worth up to 8.5 billion Euro for artillery ammunition. Though the precise number of ordered shells, capable of flying 40 kilometers with a caliber of 155 millimeters, remains undisclosed, estimates suggest several million. "German industry is nimble," said Papperger, stressing the collusive strategy with politics. Rheinmetall has incurred an investment of 5.6 billion Euro over the past 18 months.
Papperger propagates that Germany should aim for the two-percent NATO benchmark for defense spending. "We're presently lacking approximately 30 to 35 billion Euro annually. This shortfall must be addressed, or it's just a smoldering ember," he stated. When queried whether, given the present budget discussions of the traffic light coalition, he expects the defense budget to expand, Papperger responded, "Everyone desires that." However, he is uncertain whether a decision will be made before the forthcoming federal election. Post the election, a decision will be made. "I believe the decision will be affirmative. We'll attain the two-percent target."
Read also:
In the discussion about defense budget expansion, Papperger, the head of Rheinmetall, a prominent defense industry player, expresses his support for reaching the NATO's two-percent benchmark for defense spending, which could potentially lead to significant growth for his company. Rheinmetall's recent substantial contract with the Bundeswehr, worth up to 8.5 billion Euro for artillery ammunition, is a testament to their role in the defense industry.
