Astor Defence has secured a four-year deal to supply Norwegian-Finnish defence provider Nammo with TNT explosives for the production of 155mm artillery shells, a munition that has seen its demand leap in recent years following Russia’s 2022 invasion of Ukraine.
In a late-August 2024 release, Astor Defence stated that it would provide Nammo Group with “thousands of tons” of TNT, coming weeks after the Norwegian government announced in July 2024 that it had entered into a multi-year agreement with Nammo on artillery, missile, and rocket munitions.
The agreement between Nammo and the Norwegian Defence Materiel Agency will see Nammo committing to maintain ammunition production capacity for at least 15 years for 155mm artillery shells, 120mm shells for main battle tanks, and solid rocket motors for missiles such as the AMRAAM.
Artillery shells can be used in several types of artillery, including the M109 that Norway has donated to Ukraine. The rocket motors are central components in, among other things, the AMRAAM missiles used in NASAMS air defence, with Norway donating both NASAMS and anti-aircraft missiles to Ukraine.
Meanwhile, Astor Defence stated it was also launching a product line to include ball powder propellent for small calibre ammunition, primers, brass cartridge cases, and projectiles, as Europe’s industrial bases ramps up as the continent’s militaries look to rearm and replenish stockpiles.
Astor commented that it already supplies “most of the major munition manufacturers in Europe and America with their military packaging requirements” from small calibre boxes such as M19A1, M2A1, and M2A2 up to pallets for 155mm shells, with the expansion “a natural synergy”.
The company also said it has “spare capacity” for TNT supply through 2025.
Supply chains stretched by global demands
In March, a report by GlobalData detailed the strain being placed on global supply chains as an intensifying rearmament race, driven by geopolitical tensions and escalating defence budget, is setting new demands for the industrial base.
Speaking in March 2024, James Marques, defence and security analyst at GlobalData, said “vital items” such as artillery shells, air defence missiles, and armoured vehicles were seeing “rates of attrition in the war in Ukraine at rates unheard of in recent times”.
The repercussions of this heightened demand are reverberating across supply chains, with Western nations striving to replenish depleted stocks while simultaneously supporting Ukrainian forces.
The UK, for instance, recently confirmed that it had donated 400,000 artillery shells to Ukraine and had earlier signed deals with companies such as BAE Systems to increase munitions production. Similarly, companies like Rheinmetall and KNDS in Europe are forging ahead with new production lines to meet the escalating demand.
Additional reporting by Harry McNeil.
