Rheinmetall has formed a joint venture (JV) with US-based construction and engineering services provider Day & Zimmermann (D&Z) to produce medium-calibre ammunition for the US market.

Named Rheinmetall, Day & Zimmermann Munitions (RDZM), the new JV will design and produce medium-calibre and indirect fire solutions, including 25mm ammunition for the F35 joint strike fighter.

Rheinmetall and D&Z each own half of RDZM, according to a statement posted on Rheinmetall's website.

Based out of Rosslyn, Virginia, RDZM combines Rheinmetall's expertise in ammunition design and development with D&Z's manufacturing capabilities.

Rheinmetall's defence arm is said to be one of the world’s top suppliers of military weapons and ammunition.

"The new JV will design and produce medium-calibre and indirect fire solutions, including 25mm ammunition for the F35 joint strike fighter."

The company offers small arms and medium-calibre automatic cannons for aircraft, infantry fighting vehicles and ships, as well as large-calibre systems for main battle tanks and artillery, and high-energy laser effectors.

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With around 10,500 employees, Rheinmetall Defence generates $2.8bn in annual sales.

Founded in 1901, D&Z employs more than 50,000 staff specialising in construction, engineering, staffing and defence solutions for leading corporations and governments worldwide.

The company operates from more than 150 locations across the world, and generates $2.7bn in annual revenue.

Rheinmetall was recently contracted to supply HX81 tractor-trailers to an undisclosed international customer.

The €134m order includes the supply of 110 logistic vehicles.