Nammo has secured a substantial contract worth 1.8 billion Swedish kroner (approximately $186 million) with the Swedish government to supply small-caliber ammunition. This deal forms part of a larger 10-year framework agreement, marking the largest contract the company has received from Stockholm for ammunition cartridges.
The scheduled deliveries of the ammunition are set to take place between 2026 and 2028, aiming to provide Sweden with a reliable supply of munitions during a period characterized by global supply constraints. Swedish Prime Minister Ulf Kristersson recently visited Nammo’s manufacturing facility in Karlsborg, located in southern Sweden, to review the production ramp-up associated with this significant order.
Reijo Bragberg, Executive Vice President of Nammo’s Small and Medium Caliber Ammunition division, emphasized the importance of this agreement, describing it as a “significant order” that will enhance both the predictability of operations for Nammo and, crucially, ensure security of supply for Sweden.
In a broader context, this isn’t the first collaboration between Nammo and Sweden. The country had previously engaged Nammo for the production of 155mm artillery ammunition. In light of Sweden’s commitment to supporting Ukraine, enhancements to the ammunition supply chain were implemented in 2024 to accommodate the transfer of artillery rounds to the conflict zone.
Shifting focus to defense, Kristersson announced plans in March to significantly boost defense spending, aiming to reach 3.5 percent of the nation’s GDP by 2030, up from the current 2.4 percent. If realized, this initiative could see an estimated investment of 300 billion kronor (around $30 billion) in bolstering Swedish defense capabilities.
The prime minister attributed these rearmament efforts to Sweden’s “completely new security situation,” highlighting the nation’s strategic shift following its decision to retire military non-alignment and become a NATO member last year.
