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The Government Increases Norwegian Ammunition Production

(Source: Norwegian Ministry of Defence; issued Jan. 13, 2023)
(Unofficial translation by Defense-Aerospace.com)

OSLO --- The government will order artillery ammunition from the Norwegian company Nammo for up to NOK 2.6 billion. This will give Nammo increased production capacity and guarantees for ordering raw materials for production.

“The war in Ukraine has created a great need for ammunition and Norway’s Nammo plays a significant role for the NATO countries and in Western ammunition production. Ensuring the safety of the Norwegian population through good preparedness is one of the main tasks of the government. With this order, the government is contributing both to our national military preparedness, and to facilitating the maintenance of Western support for Ukraine by strengthening our own weapons production,” says Finance Minister Trygve Slagsvold Vedum (Sp).

The war has resulted in a strong international demand for weapon systems and ammunition. Several NATO countries have donated artillery ammunition to Ukraine, Norway included. The war has also had major consequences for delivery times, prices and access to raw materials in large parts of the world.

The government increases Norwegian ammunition production

“The order means that we are speeding up orders for ammunition for our national defence. It will help us to build up our emergency stocks faster, and at the same time give the Norwegian company Nammo better predictability to be able to make further investments in production capacity. We have had a good dialogue with Nammo about how the authorities can contribute to increasing production.

“It is absolutely essential that this happens quickly, and in the special situation we find ourselves in, we must be solution-oriented. It is important to contribute to Norwegian and other allied defense industries increasing the rate of production,” says Defense Minister Bjørn Arild Gram (Sp).

Nammo is an important part of the Norwegian defense industry and one of relatively few Western ammunition producers. The business, with 2,700 employees in 11 countries, is managed from the head office at Raufoss.

“We are very pleased that the government is now proposing to acquire ammunition from Nammo in the order of 2.6 billion NOK. This gives us the opportunity to increase our production capacity, and gives us the necessary security to place orders with our subcontractors to ensure future deliveries,” says Morten Brandtzæg, CEO of Nammo.

The order of up to NOK 2.6 billion will require the Storting's consent and the government will bring the matter before the Storting.

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