Rheinmetall Commences Construction of Ammunition Facility in Lithuania

Major Investment in Lithuania: Rheinmetall has begun construction on a €300 million ammunition factory in Baisogala, Lithuania, which will produce 155-millimeter artillery shells and is the largest defense investment in the country's history.

Strategic Defense Hub: The facility will enhance Lithuania's role as a defense hub amid regional tensions, with plans for initial production of 35,000 rounds annually, scaling up to 100,000 by 2027, and will create around 400 jobs.

Expansion of Defense Manufacturing: Rheinmetall is also planning a second factory in Lithuania for propellant charge production and is expanding its operations in Eastern Europe, including new facilities in Bulgaria, Romania, and Latvia.

Increased Defense Spending: Lithuania aims to raise its defense spending to over 5% of GDP by 2026 to bolster its military capabilities and support the incoming German brigade.