NATO Allies to spend more than $2.5 billion to increase ammunition and missile stocks

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155m artillery munitions

NATO Support and Procurement Agency put framework contracts for hundreds of thousands of critical ammunition and missiles valued at about $2.5 billion (2.4 billion euros).

NATO Allies and partners in the Land Battle Decisive Munitions framework drove forward efforts to increase ammunition stocks during their meeting in Paris.

These critical munition include 155mm artillery, anti-tank guided missiles and main battle tank ammunition. The first deliveries under the contracts are scheduled to began by the end of 2023.

NATO Secretary General Jens Stoltenberg said in a statement, “NATO has tried and tested structures for joint procurement – and they are delivering. I welcome Allies’ commitment to making major new investments in ammunition. Russia’s brutal war against Ukraine has reminded us that a war of attrition becomes a battle of logistics.”

Stoltenberg added, “Robust munitions supplies are essential to ensuring we can keep supporting Ukraine, while protecting every inch of NATO territory. This also provides a strong demand signal to industry across the Alliance to ramp up production.” 

According to the NATO statement, the Alliance’s Land Battle Decisive Munitions framework was established in 2018 and allows Allies and partners to harmonize national procurement plans, while encouraging multinational purchases.

“It is an integral part of NATO’s push to increase ammunition production and aggregating demand as part of the new Defense Production Action Plan endorsed at the Vilnius Summit,” the NATO statement added.

Currently 24 NATO Allies and partners participate in the program. The participating Allies are: Belgium, Croatia, Czechia, Denmark, Estonia, Finland, France, Germany, Italy, Latvia, Lithuania, Montenegro, Netherlands, North Macedonia, Norway, Poland, Portugal, Romania, Slovakia, Slovenia, Spain, United Kingdom; plus Austria and Sweden.

Last month NATO commanders and defense leaders expressed concerns about production capacity shortages and urged to boost defense production to ensure weapons supply. The defense leaders gathered in Oslo, Norway for the annual Military Committee Conference from September 14 to 16, 2023.

The NATO defense officials noted that due to rising costs, the increased defense spending does not actually lead to more security, and urged for an increase in defense production to ensure the supply of weapons and military equipment, especially after the Russian invasion of Ukraine.