Europe's largest munitions factory was inaugurated Wednesday in the northern German town of Unterlüss, a symbol of European countries' efforts to rearm amid the war in Ukraine.

The project by German conglomerate Rheinmetall reflects Berlin's shift toward rearmament following Russia's February 2022 invasion of Ukraine, which reversed years of underinvestment long offset by the U.S. defense shield.

"It is very important to be here, because the defense industry in Germany, Europe and North America matters more than ever," at a time when "Russia and China are rapidly and massively developing their militaries and capabilities, with very little transparency," said NATO Secretary General Mark Rutte, who was invited to the official ceremony.

"We therefore need to restart some of our idled production lines, develop faster manufacturing processes and acquire the necessary components so that when orders arrive, they can be delivered faster," he added.

- "Very important signal" for Ukraine -

The Unterlüss factory, located near Hanover, is a perfect illustration of this.

Built in 15 months, it is expected to manufacture up to 25,000 155mm shells this year in largely robotized halls, with a range of up to 40 kilometers.

Production is expected to quickly reach 350,000 units per year by 2027, on a site the size of five football pitches.

At full capacity, it will be the largest munitions factory in Europe, according to Rheinmetall.

The complex is above all "a very important signal for people in Ukraine," said German Vice Chancellor and Finance Minister Lars Klingbeil, returning from a trip to Kyiv.

The production lines will be running as a priority to fulfill the German army's (Bundeswehr) record order for ammunition, worth up to 8.5 billion euros, announced in July 2024.

But part of the production must also be redistributed to Ukraine, by Germany or other countries buying shells from Rheinmetall.

"Germany must be prepared to assume more responsibility for security in Europe," insisted German Defense Minister Boris Pistorius, a Social Democrat.

The factory, located in the heart of the Lüneburg Heath, within a Rheinmetall industrial complex, is of "strategic importance" for the company but also "for the Federal Republic of Germany and for Europe," stressed the head of the group based in Düsseldorf (west), Armin Papperger.

- Partnership with Lockheed Martin -

Rheinmetall, listed on the Dax index of the Frankfurt Stock Exchange, is the largest European manufacturer of ammunition for tanks and artillery pieces, ahead of the Norwegian Nammo and the French Nexter.

The group invested more than 500 million euros to build this new site, creating 500 jobs.

Rocket engines will also be manufactured locally starting next year, in partnership with the American company Lockheed Martin, with which Rheinmetall already cooperates, AFP learned.

The Unterlüss complex already produces 120 mm shells for Leopard 2 tanks, used on the front by the Ukrainian army.

Faced with a personnel shortage affecting its army, the German government adopted a bill on Wednesday to speed up recruitment. The bill aims to attract volunteers, while providing for partial compulsory military service if personnel are insufficient.

Adding in equipment investments, which are lacking everywhere, Berlin plans a continued increase in its defense effort to reach 3.5% of GDP in 2029, more than triple its pre-war level in Ukraine.

"We are a reliable partner" for NATO, assured Mr. Klingbeil.