Rheinmetall plans further naval acquisitions after Luerssen deal

Rheinmetall, which has been best known for making tank cannons, artillery shells and infantry fighting vehicles, has diversified its defence business since Russia's invasion of Ukraine in 2022.

The German defence industry is benefiting from a surge in defence spending, driven by shifting US foreign policy that is putting greater pressure on Europe to boost its own defences against Russia.

On Thursday, Papperger said Rheinmetall expected a potential order intake of €80 billion ($93.54 billion) in 2026, citing government procurement plans for the Boxer APC, an armoured fighting vehicle, the frigates F126 and F127, and an additional batch of Puma infantry fighting vehicles.

Papperger said the Boxer order alone had a volume of €37.7 billion, and the orders for the frigates amounted to €12-13 billion.

(Additional reporting by Tom Kaeckenhoff and Matthias Inverardi in Duesseldorf. Editing by Jane Merriman)