Analysis & Reports

Rheinmetall sold its automotive unit to Aequita for €350 million as part of its strategy to focus on defense. The deal, expected to close in the fourth quarter of 2025, will retain approximately 6,250 employees. This unit was classified as discontinued in December 2025 due to a deteriorating business situation in the automotive sector.

On June 2, 2026, Russia launched a barrage of 729 long-range projectiles, including Iskander-M and Zircon missiles, targeting Ukraine, resulting in significant civilian casualties. Ukraine's air defense intercepted some missiles but struggled against the Zircon threat. NATO confirmed support for Ukraine's air defense during a meeting in Kyiv, emphasizing the need for more interceptors to counter Russian missile capabilities.

Alexandra ReevesThu Jun 04 2026Loading...

NATO conducted testing of counter-drone technologies at the Sēlija test site in Latvia starting in March 2026, revealing both successes and failures in intercepting drones. Latvia plans to deploy mobile teams equipped with interceptor drones to its eastern border in response to recent drone incursions. The report emphasizes the financial challenges of effective air defense against low-cost drone threats, contrasting European efforts with Ukraine's more industrialized approach to drone defense.

Dr. Klaus WeberThu Jun 04 2026Loading...

Patria completed the delivery of 10 Patria AMV XP 8×8 ambulance vehicles to Slovakia last week in Lieskovec. This delivery is part of a government-to-government agreement signed in 2022 for Slovakia's acquisition of 76 armoured combat vehicles. The program enhances Slovakia's defense capabilities and supports local industrial development.

Ukrainian drone interceptors destroyed over 3,500 Russian unmanned aerial systems in May 2023, primarily targeting Shahed-series drones. The Unmanned Systems Forces were responsible for over 1,200 of these interceptions, reflecting a significant expansion in Ukraine's drone defense capabilities. Additionally, Ukrainian helicopters contributed to the destruction of more than 440 drones, showcasing a multi-tiered air defense strategy. Ukraine is actively working to enhance its interception capabilities in response to evolving Russian drone tactics.

Lockheed Martin successfully intercepted a Shahed-style attack drone in Ukraine using a Joint Air-to-Ground Missile (JAGM) fired from a Grizzly containerized launcher during a recent live-fire test. This marks the first use of JAGM against such unmanned aerial threats, demonstrating the effectiveness of their integrated counter-drone system, which was assembled in under 45 days. The R40 radar played a crucial role in detecting and tracking the drone.

On June 2, 2026, the Russian Armed Forces launched a massive airstrike against Ukraine, deploying 73 missiles and 656 drones. The attack included Iskander-M and Zircon missiles, with Ukrainian air defense reportedly intercepting 642 targets. This strike coincided with a Ukrainian drone attack on Saint Petersburg, targeting oil infrastructure. The report highlights the ongoing military capabilities of Russia despite limited territorial gains.

Dmitri VolkovThu Jun 04 2026Loading...

Czech President Petr Pavel confirmed that two anti-drone variants of the Wolf armored vehicle are currently engaged in combat operations in Ukraine. This development highlights the vehicle's role in countering drone threats on the battlefield. The Wolf, produced by DefTech, is designed for mobility and protection, making it suitable for the challenging terrain in eastern Ukraine. Pavel's visit to the manufacturing partner underscores the political support for this defense initiative.

Thales is fast-tracking the delivery of 268 Bushmaster Protected Mobility Vehicles to the Royal Netherlands Army as part of an urgent operational request. This decision enhances the Dutch forces' capabilities in response to contemporary threats. The vehicles will be supplied in the latest configuration, reflecting close defense cooperation between Australia and the Netherlands.

Otokar finalized the acquisition of a 96.77% stake in Automecanica S.A. in Mediaș, Romania, for EUR 85 million, establishing a NATO-standard land systems hub. This investment aims to modernize Romania's armed forces and enhance its defense manufacturing capabilities, creating sustainable economic value and reinforcing strategic autonomy in military vehicle production.

Rheinmetall Group finalized the sale of its civilian Power Systems division to AEQUITA for €350 million, expected to close in Q4 2026. This strategic move allows Rheinmetall to concentrate on military customers and enhance its technological capabilities. AEQUITA plans to retain all 6,250 employees from the division, which has been classified as a discontinued operation.

Sensofusion Aerospace is manufacturing a new class of affordable surveillance and drone-detection aircraft in Jämsä, Finland, with prototype test flights scheduled soon. The aircraft, based on the Atol Aurora platform, integrates advanced signals intelligence and counter-drone systems, allowing for enhanced detection capabilities. This initiative aims to provide a cost-effective alternative to existing airborne surveillance platforms like AWACS, with two prototypes already under construction.

Cubic Defense secured a contract to modernize live training capabilities for the Italian Army in Italy. This contract aims to enhance training through data-driven approaches, reflecting a significant development in military training modernization efforts.

U.S. Air Force General Alexus Grynkewich stated that NATO allies, including Canada, must increase their contributions of manned and unmanned aircraft and naval vessels as the U.S. reduces its military capabilities available to NATO. This announcement followed a meeting of NATO military planners in Brussels, highlighting the need for European nations to take on more responsibility for the continent's defense amid concerns over U.S. withdrawal.

Poland and the Baltic states are advocating for the deployment of American dual-capable aircraft and B61-12 bombs as part of NATO's nuclear sharing strategy by 2026. This initiative aims to enhance deterrence against Russia, reflecting a lack of confidence in existing NATO defense structures. The proposal involves American control over the nuclear weapons while European nations provide necessary support and infrastructure.

Dr. Klaus WeberWed Jun 03 2026Loading...

The US is delaying weapon sales to allies, including Taiwan and Japan, as it prioritizes replenishing its own military stockpiles. This decision has raised concerns among defense communities in Europe and Asia about the reliability of US arms supplies. Countries such as Norway, Estonia, and Switzerland have also been notified of potential delays in their orders. The US has approved a record number of Foreign Military Sales this year, but the prioritization of domestic needs may lead allies to seek alternatives.

CSG secured major contracts for ammunition fuzes in Slovakia, collaborating with Fuchs Electronics Europe to enhance production capabilities. These contracts, valued in the tens of millions of Euros, aim to meet the growing demand for electronic fuzes, which are essential for modern artillery ammunition. The initiative underscores the importance of resilient supply chains in the European defense industry.

Rheinmetall is showcasing advanced military technologies at the ILA Berlin 2026 from June 10 to 14, including the MQ-28 Ghost Bat and FV-014 Loitering Munition. The company emphasizes its role as a comprehensive systems provider for NATO and Germany, with a focus on innovative solutions for reconnaissance and combat operations. Additionally, Rheinmetall is producing F-35 fuselage sections in Weeze, Germany.

HENSOLDT showcased its military technologies at ILA Berlin 2026, emphasizing multi-domain information dominance and electronic warfare capabilities. The company presented systems like Kalætron Attack for countering air defenses and OrbitISR for tactical reconnaissance from low Earth orbit. This event highlighted HENSOLDT's role as a leading supplier of advanced military equipment.

NATO conducted demonstrations of counter-drone systems at the Sēlija range in Latvia on May 26, showcasing multiple interceptor drones from European startups. The demonstrations highlighted the challenges and progress in effectively countering drone threats, particularly in light of recent incursions. Latvia is deploying mobile teams equipped with these systems to its eastern border with Russia to enhance defense capabilities.