The partnering agreement represents a new order volume worth minimum €150 million for the period through to 2015.
The parties signed a contract to this effect at Rheinmetall Defence's regional office in Bristol.
Rheinmetall Defence thus remains the sole non-UK company with which DE&S has concluded a partnership agreement for the supply of general munitions.
Over the past five years, cooperation has extended to new munitions product areas due to the evolving requirements of the British military.
Over the last five years Rheinmetall Defence nearly doubled the volume of general munitions supplied to the troops of Her Majesty's armed forces.