All this is backed by firm contracts worth €253 million with deliveries in 2026.
According to a statement released this week, the contracts will be executed through the group’s existing network of production facilities in Europe and Asia amid rapidly growing demand for ammunition in the European market.
“Russia’s invasion of Ukraine has prompted the European Union to accelerate the expansion of defense production capacity and reduce dependence on external suppliers. Annual ammunition production capacity at EU level has increased significantly in recent years and the defense budgets of Member States are steadily growing. In this context, Romania is strengthening its own industrial capacity, including by resuming production of 155mm ammunition starting in 2026. Falcon Defense aims to contribute to this dynamic through private investment and the integration of Romania into an international industrial network specialized in artillery ammunition and explosives,” the company said in a press release.
The company can already supply 5,000 finished 155mm shells per month with immediate delivery. Through international partnerships with major energetic materials groups and industrial partners in Asia, the network’s production capacity will increase to 30,000 shells per month by the second quarter of 2026.
The first phase of the project in Romania will increase domestic production capacity by 10,000 units per month, providing a guaranteed supply of around 220,000 shells by the end of 2026. Production will comply with NATO standards and European export control regulations.
The project aims to modernize and reactivate the existing industrial platform acquired with the approval of foreign direct investment in 2025. The estimated investment for the first phase is around €50 million and will create between 100 and 150 direct jobs, as well as several hundred indirect jobs.
