SAR satellites Tank Manufacturer Rheinmetall Expands into Space

Related Vendors

Fastems Systems GmbH

item Industrietechnik GmbH

Rheinmetall makes billions from military equipment such as tanks, artillery and ammunition. The company is now also turning its attention to space as it looks to expand its product portfolio.

The tank manufacturer has begun series production of satellites as part of its efforts to broaden its portfolio and cover every layer of the modern battlefield. Production has successfully started in Neuss, the company said. Following preparatory work, including planning and construction, the project has moved into industrial production.

The satellites are based on synthetic aperture radar (SAR) technology and are being built in partnership with Finnish company Iceye. SAR provides precise images of troop movements and enemy positions, even at night and in poor weather. Artificial intelligence (AI) is used to identify and process relevant information. The manufacturer is Rheinmetall Iceye Space Solutions GmbH, in which Rheinmetall holds a 60 per cent stake.

The company plans to produce around 50 satellites a year. The first satellite built in Neuss is due to be launched into orbit by a SpaceX rocket in early 2027. The SAR satellites are 3.3 metres long and 0.8 metres wide, and weigh around 220 kilograms. Their antenna has an area of approximately 2.6 square metres. “The successful start of production in Neuss shows that we can not only provide innovative space technology, but also scale it up industrially in Germany,” said Rheinmetall CEO Armin Papperger.

With its satellites, Rheinmetall is entering a new business area. The defence group is broadening its product range to meet as much of NATO forces’ demand as possible and prevent competitors from winning contracts. Rheinmetall has, for example, acquired a shipbuilder and opened a plant for aircraft components in Weeze, in the Lower Rhine region. It has also expanded its drone production.

Europe’s security landscape is changing rapidly

As defence budgets rise and EU programmes expand, civil technology providers are becoming vital contributors to Europe’s strategic autonomy. The event will act as a neutral platform for dialogue between technology suppliers, integrators, and decision-makers shaping the next generation of European defence capabilities and aims to open doors between civil industry and defence procurement, providing practical insights.

Find out more and register

Satellites reserved for the Bundeswehr

The satellite business involves selling radar imagery to help NATO forces assess the situation. The focus is particularly on NATO’s eastern flank, including support for the Bundeswehr brigade in Lithuania. Rheinmetall’s subsidiary has a multi-year contract with the Bundeswehr worth around €1.7 billion, with an option to extend it. The German armed forces already receive imagery from satellites built and launched by Iceye before Rheinmetall became involved.

The Bundeswehr’s capabilities are set to improve further. Alongside the start of series production, Rheinmetall announced that the German armed forces had secured exclusive access to an unspecified number of satellites. The radar systems on these satellites will be used solely by the Bundeswehr. This means the German military will no longer have to wait for a satellite to become available to capture the requested image.

Rheinmetall is currently converting the Neuss plant, which was previously used to manufacture automotive parts. The group has since sold its struggling automotive division but retained the Neuss site for the production of drones, combat turrets and satellites.

Expert sees improvement in defence capability

In the view of experts, SAR technology is now indispensable to an effective modern military. “On a transparent battlefield, you need to keep a constant and accurate eye on the enemy, so that movements of troops and heavy equipment can be detected as quickly as possible,” says Juliana Süß of the German Institute for International and Security Affairs (SWP). She notes that the Ukrainian military also uses imagery from Iceye satellites, of which 35 are currently in orbit.

“Depending on the resolution, a great deal of detail can be identified,” Süß says. Radar signals can penetrate camouflage nets and the foliage of trees and shrubs, making it possible to see whether tanks or artillery pieces are concealed there.

The Bundeswehr has so far had access to only a small number of SAR satellites, so the contract with Rheinmetall-Iceye represents an improvement in defence capability, the expert says. “We have not had the volume of imagery needed to maintain a continuous and therefore tactically relevant overview.” The “revisit rate”—the frequency with which satellites pass over an area—will then increase, making it possible to monitor conditions on the ground and potential changes in the situation.

However, personnel need specialist training to interpret SAR imagery. This is an important consideration compared with other satellite imagery, such as electro-optical images. According to Süß, the systems are not directly comparable; rather, they complement one another and can provide a comprehensive picture of the situation. “SAR satellites are extremely important for the military, but they are not wonder satellites,” she says. “SAR satellites can also be attacked, for example through signal jamming or cyberattacks.”

Who are the competitors?

Rheinmetall’s competitors in the satellite business include Airbus Defence and Space and Bremen-based OHB. OHB has supplied the Bundeswehr with a total of eight satellites under the SAR-Lupe and SARah programmes. Seven remain in orbit and are producing SAR imagery. The first OHB satellites were launched in 2007.

SAR imagery offers significant benefits to a military, an OHB spokesperson said. “Radar technology works day and night and is therefore largely independent of external conditions.” Combined with conventional reconnaissance images, it provides a more complete picture of the situation. However, interpreting SAR imagery requires a trained eye. By contrast, even personnel without specialist training can quickly draw conclusions from electro-optical images that are relevant to military operations.

After Rheinmetall secured the Bundeswehr contract for direct access to satellites through a direct award, a larger SAR tender is now in preparation. OHB and Airbus also intend to bid. “Airbus offers both complex, high-resolution satellites for strategic reconnaissance and smaller satellite systems that provide high revisit rates and tactical reconnaissance,” an Airbus spokesperson said.