Reliance Infrastructure-promoted Reliance Defence has signed a cooperation agreement with Germany’s Diehl Defence to manufacture the Vulcano 155 mm Precision-Guided Munition System in India. The partnership is expected to address the operational requirements of the Indian Armed Forces and has the potential to generate revenue of INR 100 billion for Reliance Defence.
Under the agreement, Reliance Defence will set up a fully owned greenfield manufacturing facility at the Dhirubhai Ambani Defence City in the Watad Industrial Area, Ratnagiri, Maharashtra. The facility will focus on localizing critical defence technologies and producing the Vulcano system, which incorporates laser and GPS-guided targeting.
The Vulcano system is intended for precision strikes and is designed for high-impact accuracy. According to Reliance Defence, this collaboration will contribute to the domestic defence manufacturing capabilities.
Diehl Defence has an annual turnover of over EUR 2 billion (approximately INR 200 billion) and specializes in guided ammunition, missile systems, and air-defence technologies.
The agreement is the fourth international partnership for Reliance Group in the defence sector, following collaborations with Rheinmetall, Dassault Aviation, and Thales.
Reliance Defence is part of Reliance Infrastructure Limited and focuses on developing defence manufacturing capabilities in India. The company is involved in various projects across land, naval, and aerospace segments.