Covenant plans Leipzig plant to produce Anthem cruise missiles from 2027
US defense startup Covenant will manufacture low-cost Anthem cruise missiles near Leipzig, targeting an initial output of 1,000 units in 2027 and ramping up to 5,000 by 2028.
Manufacturing site in Saxony
United States defense company Covenant announced on 9 September 2026 that it will establish a production facility in the Leipzig area of Saxony to manufacture its Anthem cruise missile. The Washington-based company plans to start European manufacturing in 2027, aiming to provide a lower-cost alternative to established long-range systems like the American Tomahawk. The Anthem missile carries a 200-kilogram warhead and was reported by Reuters to have an operational range exceeding 1,500 kilometers, compared to roughly 500 kilometers for the Taurus cruise missiles used by the German Bundeswehr. Covenant did not comment on the range figure. The company also operates a manufacturing facility in Dallas, Texas, to supply the United States military.
- Covenant is founded in Washington
- Anthem cruise missile completes its maiden test flight
- Covenant announces Saxony manufacturing plant near Leipzig
- Target output of 1,000 Anthem missiles begins in Germany
- Saxony facility targets annual production capacity of 5,000 missiles
Production ramp-up and European supply chain
Covenant aims to price each Anthem missile in the six-figure range, keeping unit costs below one million dollars while comparable cruise missiles typically cost several million dollars each. The company designed the Saxony plant to manufacture 1,000 missiles in its first year of operation, with plans to expand capacity to 5,000 units annually.
Our goal is to reach the 5,000 mark by 2028 or at least achieve a corresponding production rate in the course of 2028.
To limit vulnerability to transatlantic trade or policy disruptions, Covenant built an autonomous supply network for its German operations. The company stated that less than 5% of components for the Saxony facility will originate from outside Europe.
- 2027 (Year 1)
- 1000 units
- 2028 (Capacity target)
- 5000 units
Customer orders and military integration
Covenant confirmed that it has already secured an initial European production contract, with deliveries scheduled to begin from Germany in the first quarter of 2027. Abigail Denburg, Covenant's president and chief growth officer, stated that the European client will choose when to announce the agreement publicly. According to German press agency dpa, Covenant is also in talks with the Bundeswehr and the German defense procurement office, though neither side has officially confirmed the discussions.
A program for long-range missiles produced in Europe is the missing piece of the puzzle in our deterrence architecture.
The Anthem missile completed its maiden flight in August 2025. European interest in sovereign deep-strike stockpiles increased following the war in Ukraine and the decision by United States President Donald Trump to revoke a previous administration pledge to station American long-range weapons in Germany.
Corporate financing and political reactions
Founded in 2024, Covenant has raised more than $250 million (215 million euros) across three private funding rounds. Its investors include Founders Fund, co-founded by American billionaire Peter Thiel. Thiel has drawn political attention in Berlin due to his right-conservative views, criticism of liberal democracies, and close ties to Trump. German Defense Minister Boris Pistorius had previously voiced concerns regarding Thiel's investments. Covenant retains retired Lieutenant General Andreas Marlow, who served as deputy inspector of the German Army until 2025 and led the European Union training mission for Ukrainian forces, as a strategic advisor.
