The former Nedcar factory in Born, Limburg is to focus on producing defence ministry equipment, defence minister Ruben Brekelmans has confirmed.

The defence ministry is working together with VDL in what will be the “flagship” of renewed alliances between the ministry and private sector, Brekelmans said during a visit to the plant. “It will create jobs and innovation, so is good for both our security and economy.”

The first production line will be ready by the end of this year. The size of the investment and the exact products which VDL wil be involved in producing has not yet been made public.

The Financieele Dagbad reported earlier this month that Swiss company Destinus was working with VDL on the production of jet-engine-powered drones.

Destinus said at the time it was in talks with the defence ministry about supplying drones to the armed forces. It has also taken over the inventory of bankrupt Dutch drone maker Aerialtronics, the paper said.

The defence ministry said earlier it plans to invest heavily in drones, following the impact of their use in Ukraine.