India’s Reliance Defence and Germany’s Rheinmetall have signed an agreement to jointly produce large-scale ammunition, marking a strategic partnership aimed at boosting defense manufacturing. As part of the deal, Reliance will set up a new greenfield facility in the Watad industrial area in southwest India, capable of producing up to 200,000 artillery shells, 10,000 tons of explosives, and 2,000 tons of propellants annually. The facility will supply medium- and large-caliber ammunition components to Rheinmetall, strengthening the German firm’s supply chain and raw material access. The partnership also supports India’s “Make in India” initiative and its $5 billion defense export target, while enhancing the country’s self-reliance in defense production.
