In June 2025, Mumbai (Maharashtra) based Reliance Defence Limited (RDL), a wholly owned subsidiary of Reliance Infrastructure Limited (RIL), has entered into a strategic cooperation agreement worth Rs.10,000 crores (~USD1.2 billion) with Uberlingen (Germany) based Diehl Defence GmbH & Co. KG, a subsidiary of Diehl Stiftung & Co. Kg, to produce Vulcano 155 millimeter (mm) Precision-Guided Munition (PGM) system in India.
- The two companies formed their partnership focused on guided munitions, particularly Terminally Guided Munitions(TGM), back in 2019.
- Vulcano 155mm PGM System is a state-of-the-art artillery shell known for its long-range and high-accuracy strike capabilities.
Key Points:
i.RDL will take the lead as the prime manufacturer, with Diehl Defence supplying core technologies and guidance systems.
ii.The production will take place at a greenfield facility in the Watad Industrial Area, Ratnagiri, Maharashtra, which will be part of the Dhirubhai Ambani Defence City (DADC).
- Once fully operational, the facility is expected to produce up to 200,000 artillery shells annually, along with 10,000 tonnes of explosives and 2,000 tonnes of propellant.
iii.The manufacturing initiative will include over 50% indigenous value addition, supporting Atmanirbhar Bharat. It also aligns with the target of achieving Rs.50,000 crores in defence exports by 2029.
iv.The partnership is a major step in boosting the efforts to reduce the dependence on imported defence equipment and build a robust manufacturing base.
About Vulcano 155mm PGM System:
i.Designed to enhance the capabilities of 155mm howitzers like the PzH 2000, the Vulcano 155mm PGM offers significant advancements in range, accuracy, and versatility.
ii. It achieves a maximum range of up to 70 kilometres(km)when fired from a 52-caliber barrel, significantly surpassing traditional artillery shells.
iii.It uses cutting-edge laser and Global Positioning System (GPS)-guided targeting to deliver pinpoint accuracy, which makes it a valuable asset for the Indian Armed Forces, especially in modern combat scenarios where precision is critical.
iv.It will be equipped with built-in Electronic Counter-Countermeasures (ECCM) capabilities that make them less susceptible to enemy electronic jamming attempts, can home into targets within 10 seconds of reaching the impact zone.
v.The majority of trials for these munitions, originally developed by Defence Research and Development Organisation (DRDO), have been successfully completed.
Note: The Indian Army(IA) employs the United State of America(USA) origin M982 Excalibur precision-guided munition (PGM) with its M777 ultra-light howitzers, K9 Vajra self-propelled howitzers, and other 155mm artillery systems.
About Reliance Defence Limited(RDL):
Chief Executive Officer(CEO) – Rajesh Dhingra
Headquarters – Mumbai, Maharashtra
Established – 2015
About Diehl Defence GmbH & Co. KG:
Chief Executive Officer(CEO) – Helmut Rauch
Headquarters – Uberlingen, Germany
Established – 2007
