European ammo companies call on the EU to increase their funding

European artillery shell producers are calling on the European Union to increase funding to create a strong production base.

The ammunition manufacturers Nammo and KNDS stated this during the Eurosatory defense exhibition in Paris.

The manufacturers emphasized that the European Union should invest in expanding the production of artillery shells now, as companies will not be able to increase production rates immediately, but systematically.

“The response from the industry: hurry up,” said Morten Brandtzaeg, the CEO of Nammo.

In addition, the expansion of production should provide priority assistance to Ukraine in creating large reserves of 155-mm artillery shells, which are still in short supply.

According to the manufacturers, the European Union has a sufficient number of enterprises that could expand production to produce 2 million artillery shells per year from 2025.

The EU is currently implementing the ASAP program (Act in Support of Ammunition Production), under which it has allocated €500 million to expand the production of casings for artillery ammunition, powder, detonators, etc.

According to the French-German company KNDS, they are seeking an additional €200 million from the countries.

The allocated funds in the amount of €500 million are not intended to conduct development and research of improved versions of shells that would increase the range and accuracy.

It was also noted that the cost of one artillery shell produced in Europe ranges from $5,000 to $10,000.

Additionally, the NAMMO noted that the increase in the cost of artillery shells is due to a number of factors, such as the COVID-19 pandemic, as well as the high demand for shells, powder, and detonators.

Militarnyi previously reported that Northrop Grumman will set up ammunition production in Ukraine.