BERLIN - The German government is planning to ink new drone procurement contracts with the start-up firms Helsing and Stark Defence, Reuters reported on February 10.

Citing internal contract documents, Reuters reported that the contracts with Helsing and Stark Defence are worth a combined EUR536 million and are part of a wider framework for unmanned technologies worth EUR4.3 billion. Sources appeared confident that the parliament’s budget committee would approve the acquisitions.

It was not reported how many drones will be acquired from each manufacturer.

Delivery is expected to begin in 2027, at which point the drones will be deployed with the 45th Tank Brigade stationed in Lithuania. The contracts have a seven-year lifespan, Reuters reported.

Source: Reuters
Associated URL: https://www.reuters.com/business/aerospace-defense/germany-order-strike-drones-worth-536-million-euros-2026-02-10/

WARSAW, POLAND -- Northrop Grumman and Polish arms group Niewiawdow-PGM signed a framework agreement to jointly produce more than 180,000 155mm artillery shells annually in Poland. Future commercial production is aimed at serving U.S., Polish, and broader European markets.

Cooperation with Niewiadow will help Northrop Grumman with Austempered Ductile Iron production, an iron heat treatment and casting method, which uses cheaper and quicker-to-adapt commercial processes in artillery round production than traditional forging methods. The production of qualification rounds is expected to start this year.

Source: Reuters
Associated URL: https://www.reuters.com/business/aerospace-defense/northrop-grumman-polish-arms-maker-aim-produce-more-than-180000-artillery-shells-2026-02-11/

KARLSKOGA, Sweden -- BAE Systems Bofors has signed a share purchase agreement to acquire Aston Harald Mekaniska Verkstad, a Swedish firm specializing in the manufacturing of complex, large-scale structures for the defense and aerospace sectors. The transaction is expected to close during the first half of 2026, pending customary regulatory approvals and standard closing conditions.

Headquartered in Kristinehamn, Aston Harald Mekaniska Verkstad employs approximately 100 people. The company provides precision machining for both commercial and military applications and has served as a long-term supplier for BAE Systems. Its production capabilities are integral to the manufacturing of several major artillery and naval gun systems, including the ARCHER mobile howitzer, the TRIDON air defense system, and the 40 Mk4 and 57 Mk3 naval guns.

The acquisition follows a period of increased demand for European defense production. By integrating a primary supplier into its internal operations, BAE Systems aims to secure its supply chain and increase the production rate of its Bofors-branded systems. The move is designed to support the defense requirements of Sweden and other NATO member states.

Beyond the defense sector, the Kristinehamn facility will continue to provide complex fabrication services to commercial clients across Europe. Until the regulatory review is finalized and the deal officially closes, the two companies will continue to operate as independent entities.

This acquisition reflects a broader trend of vertical integration within the European defense industry as manufacturers seek to mitigate supply chain vulnerabilities. By bringing a specialized machining partner in-house, BAE Systems reduces its exposure to external production bottlenecks and logistical delays. This move is particularly relevant as European nations accelerate the procurement of artillery and naval systems to bolster NATO’s eastern flank and replenish domestic stockpiles.

Source: Forecast International
Associated URL: https://www.baesystems.com/