Romanian defense industrial modernization

Romania is implementing strategic programs to modernize its defense industrial infrastructure and increase ammunition production capacity.

In September 2026, Uzina Mecanică Cugir, a subsidiary of ROMARM, signed a contract to supply specialized machinery for a new 12.7x99 mm ammunition production line. This project, estimated at approximately 409.688 million lei, aims to meet NATO standards and is expected to be completed over 36 months.

By October 2026, the Ministry of National Defence expanded its domestic procurement through three new contracts with Uzina Mecanică Sadu totaling approximately 9.88 million lei. Under the SAFE program, the facility will produce ammunition for the Romanian Army’s new assault rifles and work with the American company USBL to produce a new range of munitions on the Sadu 2 platform.

Furthering these industrial reforms, the Ministry of Economy announced plans to urgently reorganize Romarm SA. The initiative seeks to transform the entity and its 15 subsidiaries into an integrated industrial holding organized by clusters, such as armament and naval sectors. This restructuring is intended to ensure market survival and prevent political interference.