From Wall Street Journal
German government restrictions on arms exports are squeezing the country’s defense industry. But weapons maker Rheinmetall AG is sidestepping politicians in Berlin by investing in a new munitions development center in South Africa.
Germany’s biggest defense company by revenue last month confirmed earlier reports it plans to establish through its majority-owned South African joint venture, Rheinmetall-Denel Munition Ltd., a facility near Cape Town that would develop grenades, mortars, artillery shells and rockets.
Plans for the new South African plant come during an arms-export policy review by Germany’s economics ministry that has held up licenses for Rheinmetall and other companies that sell weaponry to countries outside the North Atlantic Treaty Organization with dubious human rights records.
Written by Christopher Alessi/Read more at Wall Street Journal