Following a year-long investigation into a wave of gun crimes in the region, police raided three locations, recovering 160 firearms, nearly 10,000 bullets and 1.5 kg of explosives.
The warehouse where the weapons were found was stuffed with Nazi artifacts, including portraits of Adolf Hitler, German military uniforms and medals displayed as if in a museum, police footage showed.
Officers arrested two German men, one of whom had links to far-right groups, and a British man. They have been charged with arms trafficking, drugs trafficking and falsifying official documents.
According to police, the gang acquired weapons from Eastern Europe before modifying them in their workshop in Malaga and selling them on to drug runners.