DÜSSELDORF, July 1, 2026 — Ukraine has awarded German defense manufacturer Rheinmetall a contract to supply several tens of thousands of 155mm artillery shells and associated propellant charges to support the country's NATO-standard artillery systems.
The contract is valued in the high double-digit millions of euros and will be recorded in Rheinmetall's financial results for the second quarter of 2026. Production has already begun at the company's Rheinmetall Expal Munitions facility in Spain, with deliveries scheduled for completion by the first quarter of 2027.
The order includes ER02A1 B/B 155mm artillery shells and M203 propellant charges, which are already in service with several NATO member states. The ammunition is compatible with artillery systems operated by Ukraine, including the Archer, Caesar, PzH 2000, and RCH 155.
Rheinmetall has significantly expanded its ammunition production capacity since 2022 to meet growing demand from NATO countries and Ukraine. The company acquired Spanish ammunition manufacturer Expal in 2023, followed by the acquisition of Muni Berka GmbH in Germany in 2025 to strengthen its ammunition-related capabilities.
In May 2026, Rheinmetall stated it could produce up to 100,000 extended-range 155mm artillery shells annually in response to Ukraine's estimated requirement of 1.2 million rounds per year. The company plans to increase its total annual production capacity to approximately 1.5 million 155mm shells by 2030.
The latest agreement further expands defense cooperation between Ukraine and Rheinmetall while supporting the continued supply of NATO-standard artillery ammunition through 2027.
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