Rheinmetall and Lockheed Martin plan to produce ATACMS
ANKARA, Türkiye, July 7, 2026 – A significant development took place during the NATO Summit Defense Industry Forum, as Lockheed Martin (NYSE: LMT) and Rheinmetall signed a memorandum of understanding (MOU) aimed at responding to the urgent need for locally produced munitions in Europe.
With backing from both the United States and German governments, this agreement signifies a pivotal step toward establishing a joint venture dedicated to creating the first European centre of excellence focused on the manufacturing, integration, and distribution of ATACMS across NATO and allied European forces.
“This partnership marks a watershed moment for European security and allied industrial cooperation. By combining Lockheed Martin’s unmatched missile expertise with Rheinmetall’s manufacturing excellence, we’ll deliver combat-proven capabilities faster and more efficiently to our allies,” stated Jay Pitman, president of Lockheed Martin International.
“Bringing ATACMS co-production to Germany is a strong signal for Europe’s defense industry and for NATO’s long-term resilience. This partnership combines proven U.S. technology with European manufacturing strength, creating industrial value in Germany while expanding the capacity allies need to meet growing security demands,” added Dennis Goege, Lockheed Martin’s chief executive for Europe.
Rheinmetall AG’s CEO Armin Papperger expressed excitement about the collaboration, stating:“Our aim is to strengthen the defense capabilities of Germany and Europe. Together with our friends at Lockheed Martin, we are now establishing the industrial base in Germany for modern defense systems, which are in great demand by the armed forces of Europe. By establishing ATACMS production at Rheinmetall’s Unterluess site, we are creating new capabilities for Germany and Europe, securing supplies for our customers, and strengthening our autonomy in defense policy. We are grateful that Rheinmetall has been selected to set up and operate the world’s first and only production facility for ATACMS guided missiles outside the United States.”
The Unterluess facility, commissioned over 125 years ago, holds a significant position within Rheinmetall’s operations, employing about 4,000 staff. Its key competencies revolve around weapon systems and ammunition production, alongside the development, manufacture, and maintenance of tracked vehicles. As Europe’s largest privately owned firing range, it continues to expand its capabilities with the recent launch of the “Werk Niedersachsen”—one of the most modern facilities for artillery ammunition—and the upcoming rocket motor factory, which is expected to commence the production of rocket motors and guided missile components as early as 2027.
The co-production of ATACMS missiles within Europe not only bolsters local capabilities but also enhances allied deterrence and benefits the economies on both sides of the Atlantic. With a track record of proven operational effectiveness, precision, and reliability in high-intensity conflicts, ATACMS has garnered substantial global demand. Lockheed Martin plans to maintain its existing production line in Camden, Arkansas, until the transition is fully realized.
This agreement highlights Lockheed Martin’s unwavering commitment to Europe, fostering deep, long-term co-production relationships with European industry and customers. For over 75 years, Lockheed Martin has served as a strategic partner in the defense and security of Europe, steadfast in its dedication to supporting its customers and partners throughout the region.
About Lockheed Martin
Lockheed Martin is a global defense technology leader delivering cutting-edge aerospace, missiles, fire control, security, and space systems. Its 21st Century Security® vision accelerates the delivery of transformative technologies that keep customers ahead of emerging threats.
