Germany Overtakes US as World's Top Ammunition Producer, Report Says

Germany has become the world's largest producer of conventional ammunition, overtaking the United States, according to statements by Rheinmetall CEO Armin Papperger and recent industry reports. The shift follows a significant ramp-up in military production across Germany, fueled by increased European defense spending after Russia's invasion of Ukraine. Papperger stated that Germany now holds greater capacity for conventional ammunition production than any other nation.
Rheinmetall's output has surged in recent years: military truck production rose from 600 to 4,500 units annually, medium-calibre ammunition from 800,000 to 4 million units, and artillery shells from 70,000 to 1.1 million per year. The company expects a 40% revenue increase in 2025, reaching 14 to 15 billion euros, and has received approximately 350,000 job applications this year. It currently employs 44,000 workers and aims to expand to 70,000 by 2030, with an estimated 210,000 additional jobs supported through its supply chain.
Around 65% of Rheinmetall's products are exported, primarily to NATO countries, and the company works with 11,500 German suppliers, including 4,500 from the automotive sector. Papperger, who also leads the German Security and Defence Industry Association (BDSV), said the defense sector could absorb a third of the workforce from the declining automotive industry. He projected peak production levels between 2035 and 2040.
German Defence Minister Boris Pistorius last week stated that Germany aims to build the strongest conventional military in Europe by 2039. The broader European push for defense self-reliance has accelerated since former U.S. President Donald Trump urged NATO allies to increase their defense spending and reduce dependence on American military support. The expansion of Germany's arms industry marks a strategic shift in transatlantic defense dynamics.
Rheinmetall plans to maintain annual growth rates of 30% to 50% and will continue scaling production capacity. The German government is expected to announce new industrial and defense policy measures by mid-2025 to support the sector's expansion.