Rheinmetall and Lithuanian partners began construction of an ammunition plant in Lithuania
The German arms company Rheinmetall, along with Lithuanian partners, has initiated a new project to establish a factory for the production of artillery shells in the northern part of Lithuania. The plant is expected to start operations in early 2027.
On November 4, 2025, a ceremonial cornerstone laying ceremony took place near the town of Baisogala in the Radviliškis district of Lithuania for the new plant. The project is being implemented in collaboration with two Lithuanian state enterprises: Epso-G Invest and Giraitės Ginkluotės Gamykla (GGG), with investments ranging from 260 to 300 million euros.
The plant, which will cover an area of 340 hectares in the village of Kiemarai, will focus on the production of 155-mm artillery shells. The project is planned to be completed by the end of 2026, and the construction contract worth 141 million euros was awarded to the Lithuanian company PST Group.
The new facility is expected to significantly enhance Rheinmetall’s production capacity, providing tens of thousands of shells annually, which will make a substantial contribution to the region’s defense capability and strengthen cooperation between European states in the field of defense.
The construction of this facility is part of a broader initiative to bolster defense in the Baltic region, with recently announced investments from Germany and the Netherlands amounting to 4 billion dollars. Experts note that such projects help strengthen the defense capabilities of NATO allied countries and can serve as a catalyst for other similar initiatives in Europe.
