Media reports of an ammunition crisis in Europe due to the conflict in Ukraine.
According to the American edition of the Financial Times, record demand for ammunition against the backdrop of the Ukrainian conflict has created a huge burden on the European military industry.
What’s the problem
The article states that the Ukrainian conflict has created a significant ammunition supply crisis in Europe and that its arms industry is overwhelmed by record demand.
According to experts, Ukraine requires over 5,000 shells every day – the same as a small European country per year.
Lack of production capacity and critical raw materials is putting further strain on supply chains that have not yet fully recovered from the coronavirus pandemic.
According to Morten Brandtseg, CEO of the Finnish-Norwegian defense company Nammo, demand for a number of components has grown so much that delivery times have increased from several months to several years.
To meet the surge in demand and speed up the production and delivery of ammunition, many businesses have increased staffing levels and shifts.
In particular, the German company Rheinmetall is going to restart decommissioned plants and build a new one in Hungary.
Suppliers of components and raw materials note that customers are demanding an increase in the production of some materials by 100-200%.
