Artillery shells.
Rheinmetall Denel Munition Lands Multi-Million Euro Artillery Ammunition Deal From Nato Member: Pretoria, South Africa – July 4, 2025 – Rheinmetall, a global leader in defense technology, has announced a monumental multi-year contract, valued at several hundred million euros, for the supply of 155mm artillery projectiles and bi-modular propelling charges to a European NATO country. This landmark order, secured by its South African subsidiary Rheinmetall Denel Munition (RDM) Pty Ltd, marks the largest contract in RDM’s history and underscores the growing global demand for advanced artillery systems.
The significant agreement, booked in the second quarter of 2025, will see deliveries commence this year and continue through to 2027. The contract highlights Rheinmetall’s pivotal role in bolstering the defense capabilities of NATO allies amidst evolving geopolitical landscapes.
The 155mm projectiles from the renowned Assegai family, coupled with the bi-modular propelling charges, are designed for seamless integration into the customer’s existing artillery weapon systems. This advanced ammunition suite promises an impressive range capability exceeding 40,000 meters, ensuring optimal performance and precision in the target area.
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Dr. Frank Dirksen, CEO of Rheinmetall Denel Munition, expressed his satisfaction with the new partnership. “The Rheinmetall Assegai user group is growing rapidly across the globe, and we are delighted that another customer has now also selected Rheinmetall Assegai to be delivered fast and in volume,” Dr. Dirksen stated, emphasizing the increasing trust in Rheinmetall’s proven technology.
Boosting Production Capacity to Meet Soaring Demand
In response to the escalating global demand for modern large-calibre ammunition, Rheinmetall has been aggressively investing in expanding its production capabilities. The Düsseldorf-based Technology Corporation has been steadily increasing its manufacturing output since 2022. The company aims for an ambitious target of producing approximately 1.5 million 155mm artillery shells per year by 2027, a testament to its commitment to supporting international defense needs. These investments include significant enhancements to existing facilities and the establishment of new manufacturing plants.
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Advanced Assegai Technology: Interoperability and Performance
The Assegai suite of projectiles and charges is already qualified and in-service with multiple user nations, ensuring high levels of interoperability and facilitating rapid integration into existing military frameworks. This interoperability is a critical factor for NATO countries seeking to standardize their defense assets.
The comprehensive Assegai projectile suite offers a versatile range of options, including ballistically matched High Explosive, Illumination, Infrared Illumination, Smoke, Pre-formed Fragmented (PFF), and Rocket-Assisted (V-LAP) projectiles. This broad spectrum allows for tailored responses to various operational requirements, from direct engagement to battlefield illumination and smoke screening.
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Significant Economic Benefits for South Africa
Beyond its strategic defense implications, this major contract also promises substantial economic benefits for South Africa. Rheinmetall Denel Munition, a key player in the South African defense industry, proudly employs over 2,500 individuals across the nation.
“Major multi-year contracts like this provide us the ability to continue on our growth path which contribute directly to the South African economy,” affirmed Dr. Dirksen. The company’s operations are deeply integrated into the local economy, supporting more than 1,500 domestic suppliers, including Small, Medium, and Micro Enterprises (SMMEs), which in turn benefit over 250,000 South Africans.
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About Rheinmetall Denel Munition (RDM)
Rheinmetall Denel Munition (Pty) Ltd is a joint venture, with 51% ownership by Germany’s Rheinmetall Waffe Munition GmbH and the remaining stake held by Denel (Pty) Ltd. South Africa. The company specializes in the development, design, and manufacture of large- and medium-calibre ammunition families. RDM is globally recognized as a world leader in the fields of artillery, mortar, and infantry systems, as well as plant engineering, solidifying its reputation as a crucial contributor to modern defense solutions.
