Ukraine and German company Rheinmetall establish joint venture

The German defense concern Rheinmetall and the "Ukrainian Defense Industry" officially announced the creation of a joint venture.

Ukraine's Prime Minister Denys Shmyhal announced this at the sixth German-Ukrainian economic forum under the slogan "Recovery, smart growth and security."

The head of the government announced that Rheinmetall – Ukrainian Defense Industry LLC was registered on October 18.

"The creation of a joint enterprise is, without exaggeration, a landmark event that takes the cooperation between our countries to a qualitatively new level and will allow us to build the arsenal of the free world together," the prime minister added.

Shmyhal also presented Chancellor Olaf Scholz with a certificate about registering JV "Reinmetall" and "Ukrainian Defense Industry" in Ukraine.

The Ukrainian government official noted that the joint venture would service and repair equipment supplied to Ukraine by the allies.

In addition, the production of the leading models of Rheinmetall AG equipment will also take place at this enterprise.

In his turn, the Minister of Strategic Industries, Oleksandr Kamyshin, noted that this is the first of three joint ventures with Ukrainian industry aimed at placing weapons production in the state.

"German companies want to start local maintenance (maintenance, repair, and operation – ed.) of the weapons they sent to Ukraine," the official noted.

The next stage is "assembly and production" in Ukraine, which Kamyshin called a "logical development of relations" between Berlin and Kyiv.

After that, the joint venture should move "to the assembly and then to the production of armored vehicles between Rheinmetal and Ukrainian Defense Industry."

In addition, Kamyshin hinted at the next joint venture. He said that the German manufacturer of military equipment, Flensburger Fahrzeugbau, would cooperate with a "private Ukrainian defense industrial company."

In his words, together, these two joint ventures "will cover the entire range of German weapons that come to Ukraine and can be serviced in Ukraine."

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It should be noted that the Federal Antimonopoly Office of Germany allowed Rheinmetall to create a joint venture with Ukraine at the end of September.

It was reported that the company will be based in Kyiv.

Rheinmetall noted that the Kremlin's threats to intensify the bombing of Ukraine will not affect the intentions of the German arms company to build a tank factory in Ukraine.

It was previously reported that the German arms concern, Rheinmetall, was negotiating the construction of a tank factory in Ukraine.

In addition, Rheinmetall and Ukroboronprom [Ukrainian Defense Industry – ed.] agreed to create a joint venture for tank repair in Ukraine.

It is important to note that Rheinmetall is actively helping Ukraine in the war against Russia by supplying ammunition and various equipment. In particular, the concern recently received a new order for artillery shells for Ukraine.