Rheinmetall ammunition plant in Lithuania to be launched by mid-2026

A plant for the production of 155 mm artillery ammunition by the German defense giant Rheinmetall in Lithuania will be launched by mid-2026.

The Lithuanian edition of LRT reported on this.

The new ammunition plant will be located in the city of Baisogala in the Radviliškis district of Lithuania.

“The plant will start operating in mid-2026 and, once completed, will be able to produce tens of thousands of 155 mm artillery shells per year,” Rheinmetall said on Friday.

In Vilnius, the representatives of the Lithuanian government and Rheinmetall signed a land lease agreement for the future plant and a contract for the purchase of 155 mm ammunition.

The shells are intended for the Lithuanian army’s PzH-2000 German artillery systems and French CAESAR self-propelled howitzers.

The quantity of the ordered ammunition is calculated according to the needs of Lithuania, and the price corresponds to the market price.

The Minister of Economy and Innovation, Aušrinė Armonaitė, said that Lithuania and Rheinmetall would participate in the project together.

In total, Rheinmetall plans to invest more than €180 million in a new 155 mm artillery ammunition plant in Lithuania, which should create at least 150 new jobs. The plant is expected to produce tens of thousands of rounds of ammunition per year.

According to the Lithuanian Ministry of Defense, the production of artillery shells will reduce the dependence of the country’s Armed Forces on external factors. It will also ensure control over production and supply in the shortest possible time, avoiding disruptions that may occur when purchasing from other countries.

In April 2024, Lithuania and Rheinmetall signed a memorandum of understanding to build a 155mm ammunition plant in Lithuania.

And in November, the government approved the purchase of 155 mm artillery shells from Rheinmetall without following tender procedures.