Rheinmetall CEO Calls German F126 Frigate Cancellation Major Setback

Germany’s defence ministry announced it will abandon the multi‑billion‑euro F126 frigate programme, halting a project that had already absorbed roughly €2.6 billion. The decision ends plans for six next‑generation warships originally awarded to Dutch shipyard Damen and later expected to be taken over by Rheinmetall after its acquisition of Naval Vessels Lürssen (NVL).

Rheinmetall chief executive Armin Papperger called the loss “a massive setback for us, and it caught us completely off guard,” adding that the company remains committed to expanding its naval capabilities. Following the announcement, Rheinmetall shares fell about 20 percent.

Defence minister Boris Pistorius said the project would have entailed “a significant loss of time, disproportionately high costs, and also considerable risks,” concluding that a hard stop was preferable to a permanent limbo. Instead of the F126 ships, Berlin will purchase eight smaller MEKO A‑200‑type frigates from German shipbuilder TKMS.