By Mauro Orru


Arms maker Rheinmetall said it would supply all sorts of military equipment to Romania under a deal valued at 5.7 billion euros ($6.63 billion) in what it called the largest international contract in the company's recent history.

The German group said the deal included 298 Lynx combat vehicles, Skyranger air defense systems, medium-caliber ammunition for air defense and armored personnel carriers, two offshore patrol vessels and two diver support vessels, with deliveries slated to begin in 2028 and be completed by 2030.

"The contract concluded between the Romanian authorities and Rheinmetall represents not only an opportunity to modernize Romania's defense capabilities, but also an important step toward revitalizing the national defense industry, as over 50% of production will take place in Romania or in collaboration with local companies," Mihai Jurca, head of Romania's Prime Minister's office, said.

Rheinmetall said it would invest several hundred million euros in Romania to significantly expand its capabilities in the country. Over 200 subcontractors will be integrated into the supply network.

The order from Romania comes days after a Russian drone crashed into an apartment building in the southeastern city of Galati and shows willingness from Bucharest to shore up its defenses, given Romania's proximity to Ukraine.


Write to Mauro Orru at mauro.orru@wsj.com


(END) Dow Jones Newswires

06-02-26 1053ET