New Artillery Ammunition Factory in the Midwest

The Army is set to open a significant artillery ammunition factory in the Midwest, as reported by Axios on Wednesday.

This facility will be established at the Iowa Army Ammunition Factory, with plans to produce approximately 36,000 shells each month. The construction is being led by MSM Group North America, a US-based defense manufacturer under Czechoslovak management, with a contract valued at $635 million.

Jason Gaines, CEO of MSM Group, shared with Axios, “Our main objective is to expand the depth of industrial bases, especially ammunition.”

The Army has not provided any comments regarding this initiative.

The project will also see collaboration from various companies, including construction firm Wieland and the robotics and engineering company IPS. Gaines, who has extensive experience in this sector, has also chaired the NDIA Ammunition Producer Industry Committee and has worked with General Dynamics on weapons and tactical systems.

As reported, the new facility aims to leverage robotics and automation to enhance shell production efficiency. However, the specific number of jobs created by this facility remains uncertain.

Gaines noted, “We aim to significantly improve or reduce the material handling and pouring parameters that operators are doing today.”

The Army is pushing to increase the output of 155mm shells to 100,000 units monthly. Since the onset of the Russian invasion of Ukraine in 2022, these shells have frequently been supplied to Ukraine, with more than three million sent so far.

Some defense analysts have raised concerns that the ongoing ammunition shipments to Ukraine might lead to critically low US stockpiles.