Rheinmetall and Destinus Move Forward with Joint Venture to Expand Europe’s Cruise Missile and Rocket Artillery Production Capacity

Rheinmetall and Destinus Move Forward with Joint Venture to Expand Europe’s Cruise Missile and Rocket Artillery Production Capacity

(IN BRIEF) Rheinmetall and Destinus have announced plans to establish a joint venture named Rheinmetall Destinus Strike Systems in the second half of 2026, focused on producing advanced cruise missiles and ballistic rocket artillery. Based in Unterlüß, Germany, the venture will combine Rheinmetall’s large-scale manufacturing expertise with Destinus’s advanced missile technologies, with Rheinmetall holding a 51 percent stake and Destinus 49 percent. The initiative responds to growing global demand for scalable, cost-efficient missile systems driven by modern conflicts, particularly in Ukraine and the Middle East. By integrating Destinus’s operationally validated systems with Rheinmetall’s industrial capabilities, the partnership aims to significantly expand Europe’s missile production capacity and serve both European and NATO markets, positioning itself within a rapidly growing defence sector expected to generate substantial revenues in the coming years.

(PRESS RELEASE) DÜSSELDORF, 14-Apr-2026 — /EuropaWire/ — Rheinmetall and Destinus are advancing plans to form a new joint venture aimed at strengthening Europe’s missile production capabilities, with the entity expected to be established in the second half of 2026 under the name Rheinmetall Destinus Strike Systems. The new company will focus on the manufacturing, commercialization, and delivery of advanced missile technologies, including cruise missiles and ballistic rocket artillery systems, and will be headquartered in Unterlüß in Lower Saxony, Germany.

Under the agreed structure, Rheinmetall will hold a majority stake of 51 percent, while Destinus will retain 49 percent ownership, pending the completion of necessary regulatory approvals. The collaboration is designed to combine Rheinmetall’s large-scale industrial manufacturing expertise with Destinus’s advanced system design and technological capabilities, enabling both companies to expand their presence in a rapidly evolving defence market.

As part of the arrangement, Destinus will maintain its headquarters in the Netherlands and continue its development and production of core systems and components across its European operations. Meanwhile, the joint venture will introduce additional Germany-based capacity for system qualification and serial production, leveraging Rheinmetall’s established industrial infrastructure.

Armin Papperger emphasized the strategic importance of expanding Europe’s defence manufacturing base, noting that the partnership brings together complementary strengths in production scale and innovative system design. Mikhail Kokorich highlighted the shifting dynamics of modern warfare, where the focus is increasingly on high-volume, cost-efficient missile systems rather than limited production runs.

Recent geopolitical developments, particularly conflicts in Ukraine and the Middle East, have significantly increased demand for scalable strike systems. This demand is no longer limited to small quantities but is projected to reach thousands of units annually, with potential growth into tens of thousands as procurement strategies evolve across Europe and allied nations. These trends are expected to create a substantial market opportunity, with revenues projected to reach hundreds of millions of euros in the near term and potentially expand into the billions over time.

The partnership integrates Destinus’s operationally validated system architectures and scalable platform development—including systems already deployed in Ukraine—with Rheinmetall’s expertise in industrial-scale production, system qualification, and manufacturing execution. Destinus currently operates serial production programs capable of delivering more than 2,000 cruise missile systems annually, while Rheinmetall contributes decades of experience in complex defence system development and a strong industrial footprint within Germany.

The joint venture will concentrate on assembling, testing, and delivering advanced missile systems, accelerating the rollout of solutions tailored to the needs of both national and international defence customers. Its market focus will include European countries as well as selected NATO partners, with the possibility of engaging local industrial collaborators in key regions to support market entry and growth.

This initiative reflects a broader transformation in defence strategy, where long-range strike capabilities are increasingly shifting from drone-centric approaches toward faster, more durable, and industrially scalable missile systems. Through this collaboration, Rheinmetall and Destinus aim to close the gap between rising demand for advanced strike capabilities and Europe’s current production capacity, supporting both regional defence autonomy and allied operational requirements.

Media Contacts:

Dr. Jan-Phillipp Weisswange
Deputy Head of Public Relations
Spokesperson Weapon and
Ammunition
Tel.: +49-(0)211 473 4287
jan-phillipp.weisswange@
rheinmetall.com

Oliver Hoffmann
Head of Public Relations
Tel.: +49-(0)211 473 4748
oliver.hoffmann@
rheinmetall.com

SOURCE: Rheinmetall