Czechoslovak Group (CSG) and Greek state-owned enterprise Hellenic Defence Systems (HDS) are set to form a joint venture (JV) named Hellenic Ammunition, aimed at producing large-calibre ammunition in Greece.
In this connection, MSM Greece, a subsidiary of CSG, has formalised agreements with Hellenic Defence Systems.
This initiative is expected to enhance strategic production capabilities in Lavrio and bolster CSG’s integration in ammunition manufacturing.
The founding documents of the joint venture were signed in Athens by MSM Greece’s managing director Jiří Schönweitz and Hellenic Defence Systems CEO Christoforos Boutsikakis.
Key agreements include the Articles of Association and a concession agreement, marking the official establishment of Hellenic Ammunition.
Schönweitz said: “We would like to thank everyone involved in making this venture possible, with special thanks to Hellenic Defence Systems for their trust, as well as to the Greek government and the relevant ministries for their forward-looking approach and recognition of the project’s potential.
“We are confident that, in the future, all those involved will look back with pride on this important step, which will help place the Greek defence manufacturing industry back on the world map where it belongs.”
The agreements grant MSM managerial control over the Lavrio production site for 25 years, facilitating an extensive investment and modernisation programme. The facility currently employs around 120 workers, with plans to hire an additional 180 by year-end, bringing total employment to about 300 in total.
Production at the Lavrio plant is set to expand, with 155mm ammunition already being manufactured and more calibres planned for later this year. The introduction of base bleed grain production is a significant technological advance scheduled for the latter half of this year.
The project further includes reviving TNT production in Lavrio. Historical outsourcing has limited explosives production in Europe, but this project aims to restore those capacities, including producing key intermediate products. Production is expected to commence between 2026 and 2027.
Overall investments in Lavrio will be substantial, with CSG committing up to €50m ($59m) over time.
Hellenic Defence Systems CEO Christoforos Boutsikakis said: “The restoration of large-calibre ammunition production in Lavrio is a strategic step for the Greek defence industry and for Europe’s security.
“The joint venture with CSG brings investment, modern technologies and know-how that will enable sustainable long-term development of capacities and the creation of hundreds of jobs.”
In December 2025, CSG secured a contract to supply small-calibre ammunition to a Southeast Asian nation’s Ministry of Defence, valued at several hundred million US dollars. However, CSG did not reveal the customer’s name, nor the volume or type of ammunition, citing security reasons.
