North Hessen Defence Hub: Innovation and Growth in the Region

The North Hessen Defence Hub is taking shape. On August 27, the State of Hessen and Rheinmetall signed an agreement to expand the defence site at Kassel-Calden. The project is currently in the planning and early implementation stages. Initial site development work is already underway. The new central logistics center is scheduled to begin operating at the end of 2027.

In addition, a Hessian Drone Competence Center is being established at Kassel Airport, backed by a further €8 million in state funding and operated by TU Darmstadt. In a Memorandum of Understanding (MoU) signed at Kassel Airport in Calden by Hessen Minister-President Boris Rhein and Rheinmetall Chief Executive Officer Armin Papperger, the parties agreed to turn North Hessen into a hub for modern defence technology and to develop Kassel Airport strategically.

“The North Hessen Defence Hub links Kassel’s industrial strength with the strategic infrastructure of Kassel Airport and thus becomes a booster for investment, innovation, and growth in the region. This is our contribution to greater economic strength, defence capability, and security in Hessen and Germany,” said Minister-President Boris Rhein.

Rheinmetall will invest more than €260 million in its Kassel plant and at Kassel Airport over the coming years. The state is supporting these investments with tens of millions of euros. The North Hessen Defence Hub comprises three focus areas: expanding the Rheinmetall plant in Kassel, building a central logistics & training hub at the airport, and setting up a Rheinmetall drone test center. In the long term, the investments are expected to create more than 1,000 new jobs at the Kassel and Calden sites.

Real estate developer Panattoni and Rheinmetall Immobilien GmbH are also developing a new logistics and training center on the site of the former Kassel-Calden Airport. The logistics center will serve as the central location for storing, handling, and supplying materials. The training center will be used mainly for training courses and work on technical components. Panattoni and Rheinmetall aim to build around 38,000 m² of logistics and training space in Kassel-Calden within seven months. The project is a key part of the North Hessen Defence Hub and underscores the region’s growing importance for the defence industry.

“These investments by Rheinmetall and Panattoni in Kassel-Calden are a strong signal of the attractiveness and competitiveness of Hessen as a business location. They strengthen North Hessen’s industrial base, create new jobs, and open up additional value creation potential for regional companies and suppliers. The project demonstrates the strength of Hessen as a productive and forward-looking industrial location that offers excellent conditions for long-term investment and sustainable economic growth,” said Dr. Rainer Waldschmidt, Chief Executive Officer of Hessen Trade & Invest GmbH.

What has happened so far?

August 27, 2026: Political and economic agreement
à Rheinmetall and the State of Hessen sign a Memorandum of Understanding (MoU).

August 31, 2026: Airport investment confirmed
à Around €50 million to be invested at the Calden site, with up to 130 new jobs expected.

September 3, 2026: First work on site
à Road construction and site preparation are already underway in the new development area at the Kassel Airport Business Park.

October 4, 2026: Political support confirmed
à Hessen’s Minister-President Boris Rhein reaffirms the hub’s strategic importance for Hessen.