Rheinmetall gets Ukraine order for shells, propellant charges

June 30 (Reuters) - German defence company Rheinmetall won a contract worth in the high double-digit millions of euros from Ukraine for artillery shells and propellant charges, the company said on Tuesday.

The contract value will be recognised in the second quarter of 2026, and the order is due to be completed in the first quarter of 2027.

The company said it has already begun production for the order in Spain.

Rheinmetall, one of the biggest manufacturers of large-calibre ammunition, has been responding to rising NATO defence budgets by entering new defence domains and expanding production capacities.

Last week, shares in the Duesseldorf-based company fell sharply after Germany scrapped a landmark frigate programme following delays and expected cost overruns.

(Reporting by Maria Rugamer, Editing by Miranda Murray and Matt Scuffham)