Sweden and France have expressed their desire to strengthen their defence co-operation under a new strategic partnership signed on 30 January as part of French President Emmanuel Macron’s state visit to Sweden. Anti-tank and air defence have been identified as priority areas for co-operation.

In this context, a major new step has been taken in the relationship between the two countries. On 31 January, Micael Johansson and Eric Béranger, the CEOs of Saab and MBDA, expressed their willingness to support this process in the fields of anti-tank and air defence, two capabilities identified as particularly critical for the armed forces of both countries, especially in the context of high-intensity conflicts. They signed Letters of Intent to strengthen the co-operation between their companies in these two fields, at the Business Forum organised in the presence of the highest French and Swedish authorities.

“The closeness between Saab and MBDA is reflected in our co-operation over many years, and the deepening and broadening of that through these Letters of Intent is most welcome. Doing this here in Stockholm during the state visit by President Macron to Sweden is symbolic of how two European governments working together can facilitate industry in strengthening our collective security,” said Micael Johansson, President and CEO of Saab.

Eric Béranger CEO of MBDA, said: “This is an exciting new step in our long-standing partnership with Saab. We are both world leaders in the anti-tank and air defence domains and we will be combining our expertise to deliver the best capabilities for the armed forces on the battlefield. The signature of these Letters of Intent is further proof that co-operation lies at the very heart of MBDA’s values.”

Co-operation in the anti-tank field has resulted in an initial focus on the AKERON MP. A first contract has been awarded to Saab and MBDA by the DGA, the French contracting entity, and the Swedish Defence Materiel Administration (FMV – Försvarets Materielverk). This will enable the pooling of Saab and MBDA’s expertise in the anti-tank domain, in order to support the Swedish and French armed forces’ choice of the AKERON MP weapon system in the short term. This will also enable the implementation of a joint capability roadmap to develop new functionalities associated in particular with beyond line-of-sight firing, and also to prepare the missile to address the future generation of targets that will arrive on the battlefield. This roadmap will maintain AKERON MP’s position as the benchmark weapon in its field, and an indispensable tool in high-intensity conflicts.

Saab and MBDA are long-standing partners, as illustrated by their co-operation on the Meteor air-to-air missile programme and the TAURUS cruise missile, as well as in the European MARSEUS consortium that aims to provide a sovereign European beyond line-of-sight missile firing capability.
 

Continuing to expand its presence in Romania as a leading manufacturer of military vehicles, Rheinmetall is taking up a majority share in Romanian vehicle maker Automecanica Media. The acquisition deepens the Düsseldorf-based technology enterprise’s footprint in Central Europe, opening the door to new customer countries in the region with substantial sales potential. Rheinmetall already has locations in two other countries on NATO’s eastern flank, Hungary and Lithuania. In December 2023, moreover, Romania awarded Rheinmetall a major air defence order worth €328 million. 
Through Rheinmetall Landsysteme GmbH, the Group will hold a 72.5% stake in the company, which will operate in Romania under the name Rheinmetall Automecanica SRL. The remaining shares in the company will stay in private hands. The contractual agreement still requires approval by the relevant government authorities before it takes effect.

In the medium term, Rheinmetall puts the annual sales potential of the newly acquired company at around €300 million and expects incoming orders in the current financial year to be in three-digit million-euro range. 

As Rheinmetall chief executive Armin Papperger sees it, “Bringing Automecanica Media into the Rheinmetall family marks another important milestone in our strategy of strengthening the Group’s presence in Central Europe, which in turn contributes to bolstering the defensive capabilities of the EU and NATO on Europe’s eastern flank. We look forward to supporting Romania in future projects in the vehicle domain as well as with other Rheinmetall technologies. Here, the inclusion of local partners and strengthening the Romanian economy are matters of central concern to us. We want to meet the expectations of the Romania’s politicians and military in the best possible way.” 

Automecanica Media is a longstanding maker of special vehicles, truck build-ons and trailers for the civilian and military market. Rheinmetall has been cooperating with Automecanica since 2022, when the two partners joined forces to operate a maintenance and repair facility for military vehicles in Satu Mare, Romania. 

The plant in Media, Romania is poised to play a key role in maintaining the operational readiness of Western-built combat vehicles in Ukraine, as well as assuring logistical support. Rheinmetall’s presence in Romania means that forces deployed on NATO’s eastern flank will be able to count on shorter response times and more robust supply chains. 

The acquisition constitutes a further expansion of Rheinmetall’s global vehicle production network, which already includes plants in the United States, Canada, Australia, the United Kingdom, Austria, the Netherlands and Germany. As well as significantly expanding the Group’s production and maintenance capacity, the move adds to its current portfolio of military vehicles. 
Truck build-ons, trailers and other special vehicles developed and produced by Automecanica augment and complement Rheinmetall’s existing range of military trucks, a domain in which Rheinmetall MAN Military Vehicles (RMMV) is a major force in world markets. 

Looking ahead, the chassis of antiaircraft systems belonging to the Romanian military are to be maintained and modernized here as well. 
In the medium term, Rheinmetall puts the annual sales potential of the newly acquired company at around €100 million and expects incoming orders in the coming financial year to be in the mid-three-digit million-euro range. 

Automecanica has long been an efficient and effective partner of the Romanian armed forces. In the new constellation, Rheinmetall, moving forward with Automecanica, now seeks to be a leading partner of the Romanian armed forces as well as those of neighbouring countries, with a significantly expanded array of products and services.