Defence Finance Monitor

Defence Finance Monitor

The Defence Industry in Transformation: The Revival of Safran’s Montluçon Site in the New Geopolitical Context

May 08, 2025
∙ Paid

Safran investit 50 millions d'euros à Montluçon - Quotidien des Usines

In a context of growing international attention to rearmament, the Safran plant in Montluçon stands as a significant example of the transformation underway in the European defence industry. Located in the department of Allier, this factory, specialised in the production of guidance and propulsion kits for AASM bombs (Armement Air-Sol Modulaire), has experienced an unprecedented acceleration in production. While in the mid-2010s a lack of orders threatened its closure, today the plant is operating at full capacity, with a projected output of 1,200 kits in 2025, compared to 800 in 2024, and with the declared ability to further double the production pace in response to new ministerial demands. This expansion has been driven primarily by the war in Ukraine, which has significantly increased the demand for low-cost precision munitions that can be easily adapted to the aircraft available to Kyiv.

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