Volkswagen has announced an agreement with an Israeli investment firm to convert a car plant into a defense installation. The company revealed that its car plant in northwest Germany will be repurposed for the production of defense materials. This move comes as Europe's largest economy increases its military spending amid a continental arms buildup.

The plant, located in Osnabrück, will be sold to the state of Baja Sajonia and Aurelius Capital, with the latter becoming the majority owner. Further details on the plans, including potential collaboration with Rafael Advanced Defense Systems, are available from the source.