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Defense boom drives Renk to sharply increase tank gearbox production

Defense boom drives Renk to sharply increase tank gearbox production

From Die Zeit · () German

Translated from German and summarized by DistantNews. Read the original for the full story.

At a glance

Newswire Named sources New plan
  • German defense supplier Renk plans to increase annual tank gearbox production from fewer than 600 units in 2023 to more than 2,000 by 2030.
  • The company will invest up to 325 million euros in German digitalization and capacity expansion by 2028, including changes at its Rheine plant.
  • Renk expects military customers to account for up to 30% of Rheine’s production by 2030, while employment there rises above 500 workers.

Renk plans to more than triple its annual production of tank gearboxes by 2030, reflecting a sharp increase in defense demand following Russia’s invasion of Ukraine.

“We were below 600 tank gearboxes in 2023, this year it is more than 800, and in 2030 it will be more than 2,000,” said Emmerich Schiller, Renk’s chief operating officer, in Rheine. NATO countries are ordering more tanks and other weapons systems as they increase defense spending.

We were below 600 tank gearboxes in 2023, this year it is more than 800, and in 2030 it will be more than 2,000.

— Emmerich SchillerRenk’s chief operating officer described the planned rise in gearbox production.

Renk will invest up to 325 million euros in digitalization and capacity expansion in Germany by 2028. At its Rheine plant, new machines are speeding up production of gearbox components known as planetary carriers. The company says the machines cut the working time needed for those parts by about 60%, allowing the site to move from a craft-based operation to small-batch production.

We have a significant need for specialists here.

— Emmerich SchillerHe discussed expected employment and skills needs at the Rheine plant.

Renk has already spent 20 million euros on new machinery in Rheine and plans to invest another 20 million euros there in the coming years. The plant currently employs just over 450 people, a figure expected to rise above 500 by 2030. “We have a significant need for specialists here,” Schiller said.

The Rheine facility has largely served civilian customers, including container shipping, but it is now shifting part of its output to military components. Military work accounts for about 5% of production today and could reach 30% by 2030. Renk gearboxes are used in Leopard tanks and other armored vehicles. Although drones have assumed a larger role in the Ukraine war, Schiller remains confident that tanks will remain necessary for decades. “I am firmly convinced that main battle tanks and other armored vehicles will still be needed for decades. I cannot imagine a battlefield operating exclusively with drones,” he said.

I am firmly convinced that main battle tanks and other armored vehicles will still be needed for decades. I cannot imagine a battlefield operating exclusively with drones.

— Emmerich SchillerSchiller argued that tanks will remain part of future combined operations despite the growing role of drones.
About this summary

Originally published by Die Zeit in German. Translated, summarized, and contextualized automatically by DistantNews, with a note on how the source frames the story. Not individually reviewed before publishing. How this works.