To what extent is the Panther battle tank a competitor to the Franco-German MGCS programme?

The Panther KF51 main battle tank is to be seen as a complementary main battle tank concept. The European project is scheduled for completion in 2040. Rheinmetall’s business consideration was therefore that a new tank was needed as a bridge solution for the long interim period. Together with the Hungarian government, the corporation is developing the Panther to series production readiness. It is intended to form the basis for the new Italian main battle tank. In general, battle tanks are experiencing a renaissance, as European countries are once again focusing more on homeland defence and defending the alliance, yet their tanks are outdated. As a next-generation battle tank, the Panther has significantly increased combat power thanks to its 130 mm gun. It is also fully digitalised, has a drone defence system, and deploys its own drones.

What would a sudden end to the war in Ukraine mean for Rheinmetall?

Even if peace is achieved in Ukraine, Inspector General Carsten Breuer, the highest-ranking officer in the Bundeswehr, believes that Russia will continue to massively increase its number of troops. Accordingly, the Russian armed forces want to have “reconstituted themselves by 2029 in such a way that an attack on NATO territory would be possible”. At their summit in June 2025, NATO member states decided that in the future they will invest five percent of their GDP in security and defence. The five percent mark should be reached by 2035 at the latest. Previously, the target was two percent. In his first government statement in the German Bundestag, Chancellor Friedrich Merz announced that the federal government intends to “provide in future all the financial resources the Bundeswehr requires to become the strongest conventional army in Europe”. In this respect, Rheinmetall expects a decade of rearmament in Europe – even if the war in Ukraine should be ended through diplomacy.

How will Donald Trump’s tariff policy affect Rheinmetall?

Rheinmetall has continuously strengthened its industrial base in the United States in previous years, most recently through the acquisition of the long-established manufacturer LOC Performance. This makes Rheinmetall part of the US defence industry foundation. American Rheinmetall now manufactures defence industry products at eleven sites in the country as a “fully American” supplier. The products offered by Rheinmetall in the USA are therefore not affected by any US import custom duties. In addition, the company is well positioned in two major US programmes: the XM30 combat vehicle and the Common Tactical Truck (CTT).

What is Rheinmetall doing to supply Ukraine with artillery ammunition?

Combat vehicles are built in small quantities and do not roll off an assembly line as they do in the civilian automotive industry. It can take two years from an order placement to delivery. The production is complex because different customers have individual and special requirements for “their” armoured vehicle. Tank engines are customised products that no manufacturer has “on the shelf”. Cannon barrels and armour steel also have long order periods. Many suppliers are involved. Their capacities therefore also play a role – as does the availability of material and other factors.

What is Rheinmetall doing to supply Ukraine with artillery ammunition?

Since the beginning of the Ukrainian war, Rheinmetall has increased its production capacity for 155mm artillery ammunition tenfold – from 70,000 a year to 700,000 today. It will even reach a capacity of around 1.1 million rounds shortly. This makes Rheinmetall the world’s largest manufacturer in this field. The Russian threat is prompting many NATO and EU countries to replenish their ammunition stocks. Nevertheless, Rheinmetall has prioritised supplying Ukraine since the start of the war. The armaments group is one of the country’s most important technology partners for large-calibre ammunition. Rheinmetall recently received a framework contract from the Bundeswehr for supplying artillery ammunition worth €8.5 billion – including Ukraine.