Czech defense company negotiating production of ammunition in Ukraine

That's according to the Czech news agency CTK, Ukrinform reports.

The industrial and technological holding CSG is negotiating with Ukrainian state-owned companies and organizations the transfer of part of production in the form of joint ventures.

Production should begin within three years. The investment will amount to hundreds of millions of euros, CSG spokesperson Andrej Círtek said.

"Ukraine seeks to significantly strengthen its domestic defense industry. The CSG Group is ready to be an important partner in this effort, which follows from the fact that we supply Ukraine with significant volumes of artillery ammunition and heavy equipment," he said.

According to him, Ukraine needs to replenish its stockpiles, especially of artillery ammunition, and acquire capacities for NATO-standard ammunition.

"That is why we are negotiating with state-owned companies and organizations in Ukraine about the transfer of production. We are supported in this by the Ministry of Defense of the Czech Republic, which at the same time fulfills an important coordinating role," Círtek said.

He added that in addition to the production of ammunition and heavy ground equipment, facilities for its repairs should also be created.

"The ambition is for the relevant contracts to be concluded this year, with the fact that production could start within three years," the spokesperson added.

CSG owner Michal Strnad said that it should be a similar model to that of German arms concern Rheinmetall and Ukrainian state-owned company Ukroboronprom, which registered a joint venture last year. It currently operates exclusively on the territory of Ukraine and is dedicated to the maintenance, assembly, production and development of military vehicles. The project aims to strengthen the production capacities of the Ukrainian arms industry.

"We have two or three joint venture projects under discussion," Strnad said.

According to CTK, since the beginning of the Russian invasion in February 2022, CSG has sent about 150 to 160 pieces of equipment to Ukraine.

Since the beginning of Russia's full-scale invasion of Ukraine, CSG has increased the production of large-caliber ammunition at its plants in Slovakia, Spain and Serbia more than 10-fold.