Rheinmetall Bags E-Truck Component Order From Popular Truck Maker

Author: Anusuya Lahiri | March 03, 2023 08:02am

• Rheinmetall AG's (OTC:RNMBF) (OTC:RNMBY) Castings business unit recently won a new order from a prominent truck manufacturer for gearboxes. 
• The order is worth a figure in the lower-two-digit million-euro range.
• Production will begin in the first quarter of 2026 and will initially run for five years. 
• Also Read: Rheinmetall Clinches Quarter Billion Euro Order For New Type Of Contactors
• However, Rheinmetall and the truck manufacturer have agreed to a total project lifetime of over 15 years. 
• In winning the order, Rheinmetall overcame rival bids from two competitors in the low-pressure casting sector.
• Rheinmetall will supply the gearboxes as fully machined components leading to synergies for the Group since casting will take place at its plant in Neckarsulm and final machining at its Langenhagen facility. 
• This solution assures optimum utilization of capacity at both production sites. 
• The gearboxes are highly sophisticated casting products specifically designed for use in e-trucks.
• The order gives Rheinmetall a chance to apply and expand its expertise in e-mobility and practically participate in this growth market from the outset. 
• In cooperating with a longstanding truck producer, the Group aims to jointly develop and introduce the component Europe-wide, increasing the likelihood of additional orders.
• Price Action: RNMBY shares closed lower by 0.17% at $52.41 on Thursday.

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