France, Germany move to joint tank production after FCAS failure

On June 8 the German government announced it was ending participation in the Future Combat Air System (FCAS) programme, a setback for the long‑standing Franco‑German air‑defence partnership.

In the wake of that decision, France and Germany issued a joint statement confirming they will become equal shareholders in KNDS, the Franco‑German firm that builds the Leopard and Leclerc main‑battle tanks and related turret systems. The aim is to unify European land‑armour production, strengthen NATO capabilities and prepare KNDS for a possible public offering.

The agreement arrives as Spain’s Santa Bárbara Sistemas saw its Leopard maintenance contract frozen, jeopardising about 90 jobs and a multibillion‑euro modernisation programme for the tanks.