Rheinmetall lands multibillion dollar FV-014 loitering munitions framework contract

BELFAST — German manufacturer Rheinmetall signed a framework contract with the country’s armed forces for an undisclosed number of FV-014 loitering munitions, valued at billions of dollars, the company announced today.

A first call-off contract is worth an estimated €300 million ($351 million), with deliveries of the autonomous reconnaissance and strike drones set to begin in the first half of 2027, according to a statement. A call-off typically allows a contractor to acquire products over time.

While an exact quantity of munitions were not mentioned in the statement, it noted that the framework agreement includes an option for a “five-figure number” of the weapon systems. 

Per the announcement, Rheinmetall CEO Armin Papperger said that the drones “will enable the Bundeswehr to protect its own forces and engage critical targets in a fast, controlled and effective manner.” 

The FV-014, which can reach a range of up to 100 kilometers, is equipped with a 6 kg High-Explosive Dual Purpose (HEDP) warhead capable of striking unarmored targets and infrastructure, alongside a 70-minute flight time, according to a product profile. It can also be operated as a single use or swarming platform and is capable of deploying in Global Navigation Satellite System-denied environments.

The framework contract signing comes after Rheinmetall announced in February a FV-014 demonstration in collaboration with a potential undisclosed NATO customer. The demo took place at the National Test Centre for Unmanned Aerial Systems of the German Aerospace Centre in Cochstedt, Saxony-Anhalt. The firm noted at the time the loitering munition “simulated various mission scenarios and attack flights,” as part of the event.

The German Ministry of Defence (MoD) said last week it commissioned a third loitering munition supplier to provide weapon systems to the 45th Panzer Brigade based in Lithuania. The Brigade is a central part of the country’s contribution to NATO’s Eastern Flank deterrence effort.

“The goal is to provide Panzer Brigade 45 in Lithuania with a sufficient number of functional loitering munition systems for its large-scale protection, to increase its combat effectiveness, and to maintain its tactical freedom of action,” added Berlin at the time.

The German MoD has not responded to a request for comment as of press time.

Local outlet Hartpunkt previously reported that based on a €150 million loitering munitions funding package for the 45th Panzer Brigade, approved by the German budget committee, an estimated 1,000 to 3,000 strike drones could be acquired.

It noted that other systems capable of meeting a 100 km range requirement include Rheinmetall’s LUNA NG and FALKE, a spin-off of the Vector reconnaissance drone produced by Quantum Systems.