Building on a successful fifteen-year relationship, Her Majesty’s Armed Forces awards a new framework contract with Rheinmetall in the field of infantry ammunition.
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Press Release, Düsseldorf, 05 July 2019: On 6 June 2019, Rheinmetall AG and Defence Equipment and Support, the UK’s defence procurement agency, signed a new framework agreement to enable the repeat procurement of infantry ammunition. The framework agreement will represent the default source of supply for specific impact rounds, ammunitions and grenades in the next 5-7 years and has an estimated throughput of up to €100 million (£90m).
Rheinmetall
continues to expand its role as a major supplier of ammunition. Only
a few days ago, the Dutch armed forces also renewed a partnership
agreement for the supply of ammunition with the Düsseldorf-based
specialist for security and mobility technology, which runs through
to the end of 2030.
The
contract, which has now been renewed with the British procurement
authorities, establishes Rheinmetall as the preferred supplier of 25
infantry ammunition products produced by four manufacturing locations
in Germany and Switzerland. Simon Valencia, Sales Director
Rheinmetall Weapon and Munitions UK commented “we are delighted to
be able to renew our long standing supply agreement with the UK MoD
and provide the British Armed Forces with high quality, reliable,
products that have been proven both operationally and in training for
the last fifteen years. This new contract provides the UK MoD with
value for money and continued confidence in re-supply of assured
munitions products. The UK MoD is a key strategic partner for
Rheinmetall and this new contract supports Rheinmetall’s continued
growth into the UK Defence Market”.
Defence
Equipment and Support (DE&S) is currently is the process of
negotiating a portfolio of framework agreements with defence
suppliers to enable repeat procurement of in-service munitions. The
contract with Rheinmetall Defence is the first contract DE&S has
agreed with the munitions industry on framework terms and marks a
positive step change in the way UK MoD engages with industry.