The new LYNX armored personnel carrier factory in Hungary

Rheinmetall officially opened its new factory in Zalaegerszeg on August 18, 2023. In this state-of-the-art production facility, the Lynx infantry fighting vehicle, one of the most modern in the world, will be manufactured.

“The opening of the new Rheinmetall factory in Zalaegerszeg is a significant step for our company and a sign of our commitment to the Hungarian customer and the armed forces of this EU partner and NATO member,” said Armin Papperger, CEO of Rheinmetall. “We are proud to be part of the growing industrial community in Zalaegerszeg and look forward to collaborating with local partners and talents. Hundreds of people are working together here in Zalaegerszeg, producing military systems to the highest standards, both for the Hungarian armed forces and future export customers.”

The focus of the joint venture Rheinmetall Hungary Zrt., based in Zalaegerszeg, is on the development and production of state-of-the-art tracked and wheeled vehicles for the Hungarian armed forces, especially the new Lynx infantry fighting vehicle. Rheinmetall plays an important role in the Hungarian initiative "Zrínyi 2026," which focuses on the modernization of the national armed forces and includes local production. As part of this program, Rheinmetall was commissioned by the Hungarian Ministry of Defense as a technology and security system provider to supply state-of-the-art tracked and wheeled vehicles and related services.

In the future, Rheinmetall will serve Hungary as a home market with domestic production and capabilities. In this context, a new, modern development, production, and fully equipped testing center will be established on an area of approximately 33 hectares in Zala County, including an EMC/CLIMA chamber and a shooting range. Special emphasis was placed on the latest industrialization principles, as well as flexibility, scalability, efficiency, implementation of modern transport and logistics concepts, and manufacturing processes. With production-related quality measures, new standards will be set, including a 3D measuring cell for rapid and permanent automated component quality assurance. Around 350 new jobs are planned to be created at the Zalaegerszeg site in the coming years.

Delivery of state-of-the-art tracked and wheeled vehicles and related services

The contractual agreement includes 209 Lynx KF41s in 7 variants, 18 support vehicles including the Bergepanzer 3 Büffel, and 38 military trucks. Additionally, the contract includes other services such as simulators, training, and an initial supply of spare parts and maintenance services. Over the expected decades-long service life of the Lynx, spare parts will be needed and maintenance measures will be necessary to keep the vehicles operational.

In a first production phase, Hungary will receive 46 Lynx in the infantry fighting vehicle and Command & Control configuration, as well as nine Bergepanzer 3 Büffel from German production, with deliveries of the first vehicles already underway. In a second phase, 172 more Lynx and support vehicles will be produced or delivered in Hungary.

The new factory will not only contribute to strengthening the economy in the region but also to promoting innovation and creating highly skilled jobs. Rheinmetall plans to make further investments in the factory in the coming years to expand production capacities and integrate new technologies.

With the opening of the plant and its growth potential, Rheinmetall is sending a clear signal of confidence in the Hungarian economy and the capabilities of Hungarian workers. By creating highly skilled jobs and promoting expertise, Rheinmetall will help further strengthen the growth potential of the Hungarian economic and defense industry and establish the LYNX infantry fighting vehicle and other variants as the latest, most future-proof, modular vehicle system combined with modern high-performance sensors and the LANCE weapon system in the market.

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