Rheinmetall revealed Monday that it is set to begin manufacturing cruise missiles for the first time, as part of a new collaboration with Dutch defense firm Destinus. Pending regulatory approval, both companies intend to form a joint venture this year to produce these systems, the German group confirmed.
The growing importance of cruise missiles and countermeasure systems in contemporary warfare has been underscored by their extensive use in the Ukraine conflict and in US-Israeli military operations against Iran. Rheinmetall noted that the joint venture will develop and manufacture a range of strike and air defense solutions, including cruise missiles and rocket artillery, with production expected to include battlefield-tested systems currently in use in Ukraine.
Rheinmetall has emerged as a key beneficiary of Germany’s defense spending surge following the 2022 Russian invasion of Ukraine. Nonetheless, some analysts caution that excessive funding is being channeled toward traditional defense giants like Rheinmetall, instead of supporting smaller, innovation-driven companies focused on advanced and emerging military technologies.
