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Reading: NATO signed a Contract of 1.1 Billion Euros for the Procurement of artillery Ammunition
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Sarajevo Times > Blog > WORLD NEWS > NATO signed a Contract of 1.1 Billion Euros for the Procurement of artillery Ammunition
WORLD NEWS

NATO signed a Contract of 1.1 Billion Euros for the Procurement of artillery Ammunition

Published January 23, 2024
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NATO has signed a €1.1 billion contract to procure 155mm artillery ammunition, the alliance said, and some of the shells will be delivered to Ukraine after complaints that a shortage of ammunition is hampering its war effort.

“The war in Ukraine has become a battle for ammunition,” NATO Secretary General Jens Stoltenberg said after the signing ceremony at the Alliance headquarters in Brussels.

NATO struck a deal on behalf of several allies to either forward the shells to Ukraine or use them to replenish their own depleted stocks. Buying in bulk ensures lower prices.

“The contract will probably buy about 220,000 rounds of artillery ammunition, and the first deliveries are expected at the end of 2025,” said the NATO official.

“This demonstrates that NATO’s tried and tested structures for joint procurement are delivering,” said the Secretary General. “Russia’s war in Ukraine has become a battle for ammunition, so it is important that Allies refill their own stocks, as we continue to support Ukraine.”

Since Allied leaders agreed NATO’s Defence Production Action Plan in July 2023, the NSPA has agreed contracts for around 10 billion dollars’ worth of ammunition. Recent NSPA purchases include a 5.5 billion dollar contract for 1,000 Patriot missiles and 4 billion dollars for 155-mm artillery, anti-tank guided missiles and tank ammunition. In November 2023, NATO’s procurement agency also opted to buy six E-7A Wedgetail aircraft with a contract to be signed in 2024.

These record-breaking contracts demonstrate the capacity of the transatlantic defence industry to enhance NATO’s deterrence and defence and to support Ukraine.

Ammunition will be supplied by the French arms manufacturer Nexter and the German Junghans.

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