Romania has taken a key step toward boosting its domestic defense industry, signing two letters of request with the United States for the potential co-production of Abrams tank and artillery ammunition, the U.S. Embassy in Bucharest said on Wednesday.
The letters, signed by Romania’s Ministry of Economy, aim to explore possible Letters of Offer and Acceptance (LOA) under the U.S. Foreign Military Sales program, and are part of a broader effort to enhance NATO-standard ammunition production capabilities within Romania.
“The successful implementation of these co-production projects will build capacity across the region and reinforce our bilateral strategic partnership,” said U.S. Chargé d’Affaires Michael Dickerson. “This will help secure the supply chain for NATO, the United States, and Romania—making America and our allies safer.”
The initiative follows a $920 million foreign military financing (FMF) loan approved by the U.S. Department of State in September 2024, aimed at supporting NATO’s eastern flank through strengthened industrial and security infrastructure.
Romania’s Minister of Economy, Bogdan Ivan, said the project will transform Romania into a key player in regional defense production. “We are increasing the strength of the Romanian defense industry,” he said. “Through this partnership with the United States, we will develop capabilities for production, testing, certification, and qualification.”
The co-production plans include NATO-standard 155mm artillery shells and 120mm Abrams tank ammunition. The initiative is also linked to the upcoming NATO European Center of Excellence for Munitions, which will be headquartered in Romania and is expected to further bolster the country’s strategic profile in the region.