Germany Defence News Round-up: Week 23 (2025)

Germany Approves €25M+ Defence Upgrades for Air Force

Germany’s Bundestag Budget Committee has greenlit four major Bundeswehr procurement projects to enhance air capabilities:

  • F-35 Missiles: €478.7M for Joint Strike Missiles from Kongsberg, expanding long-range strike capacity.
  • Eurofighter Upgrade: Funding for P4E D3Q development phase, adding sensors and avionics.
  • Decoy Framework: Multi-year procurement deal for countermeasures like flares and chaff.
  • A400M Protection: €172M for 23 DIRCM laser defence systems against infrared missiles.

The approvals mark continued Bundeswehr modernisation and support growing air defence needs.

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Credit: RHEINMETALL

Rheinmetall Wins New Contracts for 155mm Ammunition

Rheinmetall Denel Munition has secured two major contracts worth tens of millions of euros to supply 155mm ERFB artillery rounds, including charges and fuses, to an international customer.

Amid surging global demand, Rheinmetall is expanding capacity to produce over 1.1 million shells annually by 2027 and is developing extended-range precision rounds with up to 73 km range.

The company continues to invest in innovation and scale to meet growing defence needs worldwide.

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Credit: DIEHL DEFENCE

Diehl Defence Acquires e.sigma Systems

Diehl Defence has acquired e.sigma Systems GmbH, a specialist in military simulation and training technologies. e.sigma will continue operating independently, enhancing Diehl’s air defence offerings with platforms like e.TACCS and KOFA.

The acquisition supports Diehl’s growth strategy and gives e.sigma new expansion opportunities, with former partner Josef Müllner assisting during the transition.

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Credit: AIRBUS

Airbus to Fit German A400Ms with DIRCM Systems

Airbus will equip 23 German Air Force A400M aircraft with Elbit Systems’ DIRCM missile defence systems under a new BAAINBw contract. The systems will protect against infrared-guided threats during tactical missions.

Installations will occur during routine maintenance in Germany and Spain, with certification expected by summer 2025 and completion by 2032. The contract includes training and support services.

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Credit: TKMS

TKMS and Kongsberg Deepen Naval Defence Partnership

thyssenkrupp Marine Systems and Kongsberg Defence & Aerospace have signed a new agreement to expand their cooperation beyond submarines into future frigate programmes, anti-ship weapons, and maritime surveillance.

The partnership supports joint defence projects for Germany, Norway, and allies, with plans for shared logistics, systems integration, and technology transfer. Both firms aim to boost naval capability and stimulate economic growth through innovation and job creation.

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Credit: ACS ARMOURED CAR SYSTEMS GmbH

Romania Procures ENOK AB Anti-Tank Vehicles

Romanian special forces will receive ENOK AB airborne vehicles equipped with SPIKE LR missiles, ACS Armoured Car Systems announced at SEESOF 2025.

The modular, lightweight platform is designed for high mobility and anti-tank operations. Romania joins Czechia, Cyprus, and Ukraine as users, with full delivery expected by 2026.

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Credit: HELSING

Helsing Acquires Grob Aircraft to Boost AI-Powered Air Defence

Defence tech firm Helsing has acquired Germany’s Grob Aircraft SE to accelerate the development of AI-enabled aerial warfare systems. The move combines Helsing’s software and AI with Grob’s expertise in lightweight composite aircraft, enhancing Europe’s defence capabilities.

The partnership, which builds on prior collaboration, will support real-time threat evaluation tools and next-gen air combat platforms. Terms remain confidential pending regulatory approval.

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Credit: ARX ROBOTICS

ARX Robotics Strengthens Leadership for European Defence Expansion

German defence tech firm ARX Robotics has added three senior leaders to drive growth and support major programmes in Europe and Ukraine.

Ciaran Murphy joins as CTO to lead AI and autonomous system development. Peter Schulze becomes VP of Programs & Product Strategy, aligning products with military needs. Dr. Volker Hartmann will serve as Chief Legal and HR Officer from July 2025, focusing on regulatory compliance and international expansion.

The hires support ARX’s push to scale its Gereon UGVs and Mithra OS, with a focus on European supply chains and cross-border innovation.

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Credit: LUFTHANSA GROUP

Lufthansa Joins Hesse’s Homeland Security Reserve Initiative

Lufthansa has partnered with the Hesse State Command to support employees serving as reservists in Germany’s Homeland Security Forces. The airline will offer flexible leave for training and service, aiming to boost national security awareness among staff.

Lufthansa becomes the 350th Hessian employer to join the initiative, which supports critical infrastructure protection and disaster response. Over 3,200 volunteers currently serve in the reserve across Hesse.

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Credit: STARK

STARK Launches AI-Powered Virtus Combat Drone

German start-up STARK has unveiled the Virtus OWE-V, an AI-guided loitering munition designed for NATO forces. The 30 kg drone, built entirely with German components, offers 100 km range, 60-minute flight time, and vertical takeoff capability—optimized for fast, flexible deployment in contested environments.

STARK also introduced Minerva, a mission system enabling single-operator control of drone swarms with full cross-platform interoperability. Both systems aim to enhance NATO’s autonomous warfare capabilities while ensuring supply chain sovereignty.