Double or Nothing: Nordics Are Ramping Up Ammo Production

By
Share with your friends

It was a long wait for Ukraine before the US Senate finally approved its 60-billion-dollar aid, including long-range ATACMS missiles. In the meanwhile, the EU and Nordic countries have already acted. The Nordics and the Balts are rapidly boosting their ammunition production for Ukraine, particularly 155mm artillery shells. While the additional ammunition is crucial to Ukraine’s defence, it will not end the grinding war of attrition.

With its Act in Support of Ammunition Production (ASAP), The European Commission has allocated €500 million, supported by funding from EU and Norwegian budgets, to enhance the continent’s munitions manufacturing capabilities, targeting an output of 2 million shells per annum by the close of 2025​​. The ASAP project encompasses a range of products, including explosives, powder, shells, and missiles, and also includes testing and certification for reconditioning​.

The following projects have been awarded EU support, evidencing the spirit of regional collaboration. Nammo is owned by the Norwegian state and the Finnish company Patria, which is controlled by the Finnish state.

  • Nammo Sweden: Around EUR 12.2 million in contributions, totaling some EUR 27 million.
  • Eurenco Bofors (Sweden): Around EUR 6.9 million in contributions, totaling some EUR 34.3 million.
  • Nammo Raufoss (Norway): EUR 10 million, totaling EUR 32.2 million.
  • Nammo Lapua Oy (Finland): EUR 22.5 million, totaling EUR 51.4 million.

Sweden to Triple Its Ammo Production

Sweden has now contributed a total of 3 billion euros to Ukraine. Also, the government wants to see a tripling of ammunition production in the next few years, the Swedish Defence Minister Pål Jonsson stated in February.

Last autumn, Sweden applied for EU funds to support the ammunition manufacturer Nammo’s factory in Karlskoga. Nammo’s factory in Karlskoga was built in the 1980s after Bofors received a massive order from India for cannons and ammunition. Nammo in Karlskoga is one of four manufacturers of the 155 mm artillery shell in Western Europe.

Karlskoga was built around the Swedish industrial company AB Bofors. The company was founded in 1646 as an ironworks, became a leading steel producer in the 1870s, and started manufacturing cannons in 1883. Between 1894 and 1896, Alfred Nobel was the principal owner. In 1898, gunpowder production was added, which later expanded to include explosives.

During the company’s heyday in the 1970s, it employed a quarter of the population in the municipality, 10,000 employees of a total of 40,000 inhabitants. Bofors had its own preschools and vocational schools, as well as a company store and a bank. Today, the company is divided and has been acquired by AB Saab Dynamics and BAE Systems Bofors.

Norway Helps Purchasing Ammo from Third Countries

Norway, thus not a member of the EU, is still part of European defence industry projects such as ASAP. In January 2024, the Norwegian government announced allocating two billion krones ($190m) to increase production capacity in the Norwegian defence industry, mainly for artillery ammunition. According to the Norwegian Minister of Defence Bjørn Arild Gram, such companies as Nammo, Kongsberg Defence and Aerospace, and Chemring Nobel.
In March, Norwegian Prime Minister Jonas Gahr Store said that his country would allocate up to 150 million euros for a Czech-led effort to purchase ammunition for Ukraine from third countries.

Denmark Gives Ukraine Its Entire Ammunitions Supply

Denmark has committed to providing Ukraine with its entire artillery ammunition supply, announced Danish Prime Minister Mette Frederiksen. She has urged fellow EU member states to do the same. “If you ask the Ukrainians, they are asking us for ammunition now, artillery now. From the Danish side, we decided to donate our entire artillery and I am sorry to say friends, but there is still ammunition in stock in Europe,” Frederiksen said in February 2024, according to the Almayadeen.

In response to the escalating demand for military equipment due to the ongoing conflict in Ukraine, Denmark’s Ministry of Defence announced in October 2023 a resumption of ammunition production following a hiatus of over half a century. This initiative is aimed at bolstering the nation’s stockpiles. Furthermore, the government has secured the acquisition of a dormant arms manufacturing facility situated in Denmark’s northwestern region, historically serving as the country’s sole provider of ammunition since its inception in 1676 until its closure in 1968. In the face of widespread defence budget reductions across Europe and the turbulent economic climate of 2008, Denmark divested itself of Krudten—its principal munitions factory, whose name aptly means “the gunpowder” in Danish. The facility subsequently changed hands among various private entities before being reacquired by the state.

Finland Is Manufacturing in Three Shifts

The European Union has allocated a substantial investment in Finland’s defense manufacturing capabilities, with Nammo Lapua Oy receiving EUR 22.5 million to enhance its production of 155-mm artillery grenade shells. In addition, Nammo Vihtavuori Oy has been awarded EUR 10 million, aimed at ramping up the output of its established nitrocellulose and powder facility.

“The decision will finance investments that are critical to the military security of supply and enable long-term support for Ukraine,” said the Finnish Minister of Defence Antti Häkkänen.

In Sastamala, near the city of Tampere, there is the only factory in Finland that manufactures grenades. This Nammo Lapua Oy’s facility has workloads planned for at least the next three years. The Sastamala factory has doubled its workforce to forty employees in the past couple of years due to increased production. The factory currently operates mainly in two shifts, but some work phases are already carried out in three shifts. There are plans for another production facility at the site. According to some media reports, Nammo could be fivefolding its artillery shell production in Finland.

The Balts Join In

Even the Baltic states, with Lithuania at the fore, are making significant strides. Lithuania is set to enhance its defensive capabilities with the inauguration of a new 155mm munitions factory, together with the German Rheinmetall. “This factory will be important for Lithuania, Ukraine, and our entire region. The Government will do everything in its power to ensure that it can start operations as soon as possible,” said Prime Minister Ingrida Šimonytė, according to the Lithuanian Government’s press release.
The Lithuanian Minister of Economy and Innovation, Aušrinė Armonaitė, believed that the Rheinmetall investment would attract more weaponry manufacture to the country.

Even Germany Is Rearming

Germany is escalating its contribution to the European increase in armaments production amidst the ongoing Russian military operations in Ukraine and amid concerns about the steadfastness and dependability of NATO due to the current U.S. political climate. German Chancellor Olaf Scholz and Danish Prime Minister Mette Frederiksen took part in a ceremony
in February, that initiated the construction of a novel munitions manufacturing facility in Unterlüß, Germany. This facility, a project by Rheinmetall, will expand upon its current location in Lower Saxony, in the north of Germany. The projected output of the plant is to reach approximately 200,000 artillery shells annually, in addition to explosives and potentially other munition components, including warheads. As this initiative unfolds, predictions indicate that rearming Europe to a point of self-sufficiency and robust defense capabilities could take time.
According to Armin Papperger, CEO and Chairman of Rheinmetall, Europe will need 10 years before it is fully ready to defend itself.

ATACMS The Disruptor

Artillery ammunition and other conventional weaponry can certainly continue the war of attrition, but on their own, they are unlikely to lead to a decisive turn in the conflict in Ukraine. Instead, Lockheed Martin’s long-range ATACMS promised by the United States now represents a disruptive weapon, a long-range missile system that could change the power balance of the war in favor of Ukraine. The longer-range missiles like the Storm Shadow and ATACMS, plus the long-awaited F-16 fighters do all matter. But are these big additions to Ukraine’s arsenal decisive, even together? In war, the size does matter. But in the end, it’s how you use it.
Artillery shells and conventional armaments can prolong the attrition warfare, but they alone are unlikely to alter the course of the Ukrainian conflict significantly. On the other hand, the ATACMS, a disruptive, long-range missile system pledged by the United States, could shift the war’s power dynamics in Ukraine’s favor. Much like their anticipation of Western-designed fighter jets, Ukrainian forces have long awaited the arrival of such far-reaching armaments. Reports as early as September 2023 suggested that the Biden Administration was on the cusp of approving these extensive-range missiles. High-caliber additions to Ukraine’s military inventory, including advanced systems like the Storm Shadow and ATACMS missiles, along with the eagerly expected F-16 fighters, are all significant.
In the theater of war, the size of one’s arsenal does matter. But ultimately, it’s how you use it.

Read More:

Must Read