Bucharest, November 3, 2025 – RBJ – Rheinmetall and Pirochim Victoria, a subsidiary of Romarm, signed in Bucharest an agreement for the establishment of a joint venture – Rheinmetall Victoria – which will build a powder factory for ammunition from scratch in Victoria, Braşov County.
Romania is taking a decisive step towards consolidating its role in the European defense industry, by signing a cooperation agreement with the German giant Rheinmetall AG. Following the agreement, the company Rheinmetall Victoria SA will build in Victoria (Braşov County) the most modern factory in the world for the production of double and triple base powders, essential for modern artillery systems.
The agreement was announced on Monday, during a press conference at the Victoria Palace, attended by the Romanian Prime Minister, Ilie Bolojan, and Armin Papperger, CEO of Rheinmetall AG.
“Rheinmetall Victoria SA will be the most modern company in the world for the production of double and triple base powders. These powders are needed not only in Europe, but throughout the world, to support defense forces. We will build capacities of approximately 60,000 charges – the equivalent of 300,000 modular charges – which will represent one of the largest global capacities for artillery systems,” said Armin Papperger.
According to him, the factory will also produce 200 tons of powders for local needs, and the total value of the investment amounts to approximately half a billion euros.
“Rheinmetall and its partners will invest over 400 million euros, and the Romanian side will contribute 120 million. We also benefit from the support of European programs – 47 million euros from a project approved by Brussels and funding through the European Union’s SAFE program. The goal is for Romania to become an integral part of the European and NATO ecosystem,” added Papperger.
Prime Minister Ilie Bolojan emphasized that this partnership marks the beginning of a new stage for the Romanian economy and the national defense industry.
At the same time, Bolojan announced that the German side is open to renegotiating the association agreement, so that a significant part of the supply chain is local.
“I thank the company for its willingness to work with Romanian suppliers, so that competitive domestic companies can develop their capabilities and integrate into the European defense industry chain,” added the Head of Government.
The Prime Minister wanted to thank all those involved in the negotiation process – the Minister of Economy, Radu Miruță, and the representatives of the German Embassy in Bucharest –, emphasizing that this investment also represents a concretization of the Romania-Germany Action Plan, recently signed.
The Rheinmetall Victoria SA investment consolidates Romania’s position in the European security architecture and marks one of the largest strategic industrial investments in recent years, with a major impact on the local economy and the defense sector.
