Lockheed Martin and Rheinmetall will jointly produce ATACMS short-range ballistic missiles in Germany, marking the first time the US-developed weapon system will be manufactured outside the United States. The venture aims to establish a European production hub for NATO allies.
The move signifies a significant step in localizing key US weapons production in Europe, addressing surging demand for munitions and bolstering European defense capabilities amid ongoing geopolitical tensions.
US defense contractor Lockheed Martin and German industrial group Rheinmetall have signed a memorandum of understanding to jointly produce Army Tactical Missile System (ATACMS) missiles in Germany. This agreement marks the first time the short-range ballistic missile will be manufactured outside the United States.
The joint venture, which is backed by the U.S. and German governments, aims to establish a European hub for the production, integration, and distribution of ATACMS missiles for NATO members and allied nations. Rheinmetall CEO Armin Papperger stated that the facility would assemble ATACMS missiles for NATO allies and other partner countries, noting that the companies are establishing an industrial base in Germany for modern defense systems in high demand.
The announcement comes as NATO leaders gather for the alliance's summit, where Europe's military build-up is expected to be a central topic amid pressure from US President Donald Trump for allies to increase defense spending. The ATACMS missile, with a range of up to 300 kilometers, has been widely used by Ukraine throughout the war.
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