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10:41 05 Feb 2024

Major Finnish arms company increases artillery shell production five-fold in support of Ukraine

Photo: Kalle Parkkinen / Lehtikuva

Amid Russia's war against Ukraine, the Finnish factory of the Nammo Lapua company will increase its ammunition production fivefold in 2024.

The company's regional director, Ilkka Heikkilä, told in an interview with the STT news agency that the factory, which manufactures shells for artillery, is located in Sastamala in the western part of the country, Rubryka reports, referring to Yle.

Nammo (Nordic Ammunition Company) is a joint Norwegian-Finnish company specializing in ammunition production. The company's shares are equally divided and belong to the Ministry of Trade and Industry of Norway and the Finnish defense corporation Patria.

The increase in production at the Sastamala factory is linked to the war in Ukraine because artillery shells play a crucial role in Finnish aid to Ukraine and in replenishing the stocks of EU countries that had previously transferred ammunition to Ukraine from their own stocks.

"The increase in production at the Sastamala factory, which manufactures shells for artillery shells, is linked to the war in Ukraine because artillery shells play a crucial role in Finnish aid to Ukraine," said Ilkka Heikkilä.

Nammo has applied to participate in the EU's ASAP project to increase ammunition production.

If successful, the company will build a new factory for artillery shell production. The project will also require funding from the Finnish government.

As reported, the European Union will be able to supply Ukraine with just over 500,000 artillery shells by March instead of the promised million.

In early January, the European Commission expressed confidence that the EU could produce a million ammunition rounds for Ukraine by spring this year despite the process slowing down.

In early December, German Defense Minister Boris Pistorius reminded of his previous statement that the EU could not deliver a million ammunition rounds to Ukraine by spring 2024 but promised that the situation would improve.

It was previously reported that Finland will more than double its production of artillery shells to increase its defense capabilities and provide long-term support to Ukraine.

Supply of ammunition to Ukraine and joint arms production with other countries

On May 3 last year, the EU Council approved a decision to provide €1 billion in assistance to Ukraine for joint purchases of ammunition and missiles.

The procurement plan envisaged allocating 1 billion euros for compensation to member states for supplies, another €1 billion for joint purchases of ammunition, and increasing production capacities in the EU.

On November 14, German Defense Minister Boris Pistorius acknowledged that the European Union could not provide Ukraine with a million artillery shells by March 2024.

However, on January 11, the European Commission announced that the European Union could produce one million ammunition rounds for Ukraine by the end of winter 2024.

The German defense concern Rheinmetall and the "Ukrainian Defense Industry" have officially announced a joint venture to repair and maintain combat equipment in combat-ready condition transferred by Germany and other Western partners.

Also, the German arms concern Rheinmetall will build a new ammunition factory. It is planned to provide the manufactured products to Ukraine.

Ukraine and Belgium also plan to establish joint arms production. In the near future, Finland will begin production of artillery ammunition for Ukraine.

Moreover, Ukraine and Lithuania have agreed on joint production of drones and electronic warfare (EW) equipment. The joint-stock company "Ukrainian Defense Industry" is starting a strategic partnership with four Lithuanian companies.

Also, Poland and Ukraine have agreed on joint arms production: Warsaw has already allocated a loan.

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