The Norwegian Defense Materiel Agency announced on Tuesday, July 9 that it had signed an agreement worth more than NOK1 billion ($94 million) with the Nammo aerospace and defense company intended to significantly expand production of artillery ammunition.
Prime Minister Jonas Gahr Støre said: “Ukraine has an enormous and urgent need for ammunition and weapons… This agreement will make it possible for Nammo to expand production of highly sought-after military equipment. This is of great importance for Ukraine, for Allied security and for our own national preparedness.”
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The funds will allow Nammo to expand its production capacity for 155mm artillery ammunition along with a commitment to maintain its new capability for at least 15 years.
Its new production lines will not only increase the manufacture of howitzer shells but also 120mm tank ammunition and solid fuel engines for AIM-120 AMRAAM air-to-air missiles.
Nammo CEO Morten Brandtzæg speaking at a Defense Industry Forum that is running alongside the NATO Heads of State Summit in Washington DC on Tuesday said: “This represents a major step forward for Nammo, and it would not have been possible without the Government’s initiative.”
He went on: “The new production line will give us an unprecedented increase in capacity. It will also create many jobs, promote growth, and greatly improve our ability to supply Norway, NATO and Ukraine.”
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In addition to Nammo’s European manufacturing facilities in Norway, Sweden and Finland, it also operates a plant producing 155mm ammunition in Mesa, Arizona.
Brandtzæg said, following a panel discussion on Europe’s capacity to produce ammunition at Eurosatory last month, Nammo is also in discussion with the US government on plans to open a second plant, talks that he described as “very detailed now.”
Nammo has undertaken to have its new production line in Norway set up and running as soon as possible, and by the end of 2026 at the latest.
Norway’s Minister of Defense Bjørn Arild Gram said that enabling Nammo to increase its production capacity significantly would “… help meet Norwegian, Allied and Ukrainian needs… This is essential in order to strengthen national preparedness, safeguard international security and augment local value creation.”
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