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Rheinmetall warns France may slash tank project funding, mirroring fighter jet program collapse
๐Ÿ‡ท๐Ÿ‡ด Romania /Economy & Trade

Rheinmetall warns France may slash tank project funding, mirroring fighter jet program collapse

From Adevฤƒrul · () Romanian

Translated from Romanian, summarized and contextualized by DistantNews.

At a glance

News Sources not specified Context piece
  • Germany's Rheinmetall warns France may reduce funding for a joint next-generation tank project, mirroring the collapse of a fighter jet program.
  • The Main Ground Combat System (MGCS) aims to replace French and German tanks by 2040 but faces budget cuts and delays.
  • Similar cooperation issues are affecting a joint European drone project, highlighting broader challenges in European defense industry collaboration.

Armin Papperger, CEO of German defense giant Rheinmetall, has voiced concerns that France might significantly cut funding for the Main Ground Combat System (MGCS), a joint project to develop a next-generation battle tank. This warning echoes the recent cancellation of the Future Combat Air System (FCAS), a collaborative program for a future fighter jet that faltered due to disagreements among participating companies.

There is always a risk, but no final decision has been made yet.

โ€” Armin PappergerReferring to the Main Ground Combat System (MGCS) program.

The potential withdrawal or reduced funding from France for the MGCS, intended to replace the Leopard 2 and Leclerc tanks around 2040, raises fears about the future of European defense cooperation. Papperger noted to Welt am Sonntag that "there is always a risk, but no final decision has been made yet." He cautioned that budget reductions would inevitably lead to further delays in a program already behind schedule, stating, "If you have less money available, you cannot move forward faster, and we are already moving very slowly."

Industry sources suggest Paris is considering a budget less than half of the initially planned amount. The consortium, which includes Rheinmetall, Franco-German defense firm KNDS, and French company Thales, has so far received only 25 million euros ($28.9 million) for the MGCS. This amount is described by Papperger as "very small" for such an ambitious initiative.

If you have less money available, you cannot move forward faster, and we are already moving very slowly.

โ€” Armin PappergerExplaining the impact of potential budget cuts on the MGCS program's timeline.

These cooperation challenges extend beyond ground vehicles. The German newspaper Handelsblatt reported that the joint Eurodrone project, involving France, Germany, Italy, and Spain, is also experiencing instability. French company Dassault is reportedly seeking financial compensation from Airbus, claiming a smaller share of work than anticipated. These ongoing issues highlight significant hurdles in achieving cohesive and effective European defense industrial collaboration.

very small

โ€” Armin PappergerDescribing the 25 million euros received so far for the MGCS project.
DistantNews Editorial

Originally published by Adevฤƒrul in Romanian. Translated, summarized, and contextualized by our editorial team with added local perspective. Read our editorial standards.