German Military Considers Cruise Missiles from New Vendor Covenant

Key Takeaways

  • Germany is negotiating with Covenant, a U.S.-Israeli startup, for its Anthem cruise missile to enhance its long-range strike capabilities.
  • The Anthem missile is reportedly production-ready and aims for lower costs compared to existing options.
  • Production in Germany is expected to start in early 2027, amidst political tensions in the region regarding military industry support.

Negotiations with Covenant for Anthem Missile

Germany’s defense ministry is currently in discussions with Covenant, a startup backed by U.S. and Israeli venture capital, regarding its Anthem cruise missile. This initiative is part of Germany’s efforts to bolster its long-range military capabilities in response to Russian aggression. The current status of Germany’s strike arsenal is precarious; the go-to air-launched Taurus cruise missile is years from being operational, and potential U.S. deliveries of Tomahawk missiles remain uncertain due to ongoing military engagements.

A spokesperson for the German Defense Ministry confirmed that negotiations with Covenant are ongoing but declined to elaborate on how the Anthem missile would be integrated into the military’s plans. So far, the German military has primarily relied on Lockheed Martin-made Typhon launchers, which support various munitions, including Tomahawk missiles with ranges exceeding 1,500 kilometers. Although details about the launch system for the Anthem missile have not been publicly disclosed, it is understood to be a ground-launched system.

Covenant claims that the Anthem missile is production-ready and routinely undergoes flight tests. The startup posits that it can manufacture missiles at a significantly lower cost than current systems, with executives reportedly targeting a mid-six-figure price per unit compared to over $1 million for a current-generation Taurus missile. Founded in 2024, Covenant operated in “stealth mode” until this recent announcement and has grown to employ 200 people while actively recruiting, including for roles in Germany.

Local reports indicate that the production facility will be based in Leipzig, Germany, near the Leipzig-Halle Airport, though the company has not provided detailed information about the site, merely stating that they are leasing an existing building. The serial production of the Anthem missile is slated to commence in early 2027, with global customers potentially receiving units by 2026.

In a politically sensitive environment, the far-right Alternative for Germany (AfD) party has gained traction in local elections. The party, noted for its close ties to Russia and opposition to support for Ukraine, is the dominant political force in Saxony, where the Covenant facility will be located. AfD’s leaders maintain a complex stance on military production, advocating for a strong defense industry while positioning themselves as a party of peace, particularly regarding Russian interests.

While Covenant did not specify details about where essential components like propellant and warhead integration will occur for the European-produced units, the company’s Leipzig facility has been categorized as a metalworking plant, allowing it to circumvent certain regulations applicable to traditional munitions factories. The unclear nature of integration and potential buyers for the Anthem missile has raised questions, as Covenant continues its development and preparation for production.

This situation in eastern Germany reflects broader implications for the region’s military policies and public sentiment towards defense industries, further complicated by the rising political influence of parties like the AfD. The outcome of these negotiations and the establishment of the facility will be closely monitored amidst local political dynamics and European defense strategies.

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