Since Russia’s all-out invasion of Ukraine in 2022, Rheinmetall—Germany’s leading defense contractor—has been one of the big winners from increases in defense spending in Germany. The company’s share price has increased by 1,700 percent since January 2022 and it is opening new production facilities in Germany, the U.S. and Ukraine.
But when CEO Armin Papperger made headlines last week, the news was not about the company’s successes. Instead, Papperger was quoted making highly controversial comments about Ukrainian drone production. When asked why Kyiv’s achievements seemingly outstripped those of Germany and other European states, Papperger dismissed the country’s success, attributing it to “housewives” using “3-D printers in the kitchen” to “produce parts for drones.”
“This,” he concluded, “is not innovation.”