Friday, November 25, 2022
The world’s biggest arms makers are scaling up production of rocket launchers, tanks, and ammunition as the industry shifts to meet what executives expect to be sustained demand triggered by the war in Ukraine, reported WSJ. The ramp-up is playing out in large measure in Europe, where a handful of long-established arms makers have grown accustomed to more modest, peacetime demand for their wares and are now trying to increase capacity to meet an expected crush of orders. As a result, shares of many of these lesser-known international arms players, including Germany’s Rheinmetall AG RHM, and Sweden’s Saab SAABF, green up pointing triangle AB, have soared on hopes of big orders. Last week, Rheinmetall, one of Europe’s biggest weapons and munitions makers, agreed to buy a Spanish rival to bolster its munitions-making capacity.