The German defense concern Rheinmetall is investing over €180 million in the construction of an ammunition production plant in Lithuania.
This was reported by the Ministry of Economy and Innovation of Lithuania.
The corresponding investment agreement was signed by the Minister of Economy and Innovation of Lithuania Aušrinė Armonaitė and representatives of Rheinmetall.
"This will help ensure uninterrupted access to the necessary weapons and ammunition, as we ourselves will produce the products needed to defend Europe. After investing more than €180 million, the new factory is also expected to create at least 150 new jobs," Armonaitė said.
The new plant is expected to produce tens of thousands of munitions per year.
The project was given the status of state importance and a 0% corporate income tax rate for up to 20 years. Its specific location will be announced in the coming weeks.
Deputy Minister of Transport and Communications Julius Skačkauskas said last week that the construction of the Rheinmetall plant should begin in October, writes LRT.
- In mid-April, Lithuania signed a memorandum of intent with Rheinmetall on the construction of an ammunition production plant in the country.
- The new enterprise is part of Rheinmetallʼs long-term strategy, which plans to reach production links of more than a million artillery ammunition by 2027 with all its capacities.
- By the end of 2024, the company should produce 700 000 ammunition. New production facilities in Germany, Ukraine and Lithuania should ensure the output of one million shells. With new factories, the concern wants to cover the needs, in particular, of the Armed Forces of Ukraine.