NATO to Spend $1.2 Billion on Purchase of Over 200,000 155mm Munitions to Support Ukraine

The North Atlantic Alliance has finalized agreements for the acquisition of approximately 220,000 155mm artillery shells, amounting to $1.2 billion. The respective contracts were signed by NATO Secretary-General Jens Stoltenberg and the Director-General of the NATO Support and Procurement Agency (NSPA), Stacey Cummings. These record-breaking contracts showcase NATO's ability to strengthen its own defence capabilities and provide support to Ukraine, as reported by the Alliance's press service.

"This demonstrates that NATO's proven structure for joint procurement is effective. Russia's war against Ukraine has become a battle for ammunition. Therefore, it is crucial for allies to replenish their stocks as we continue to support Ukraine," stated Jens Stoltenberg.

It is also noted that NATO is directing the efforts of its member countries to overcome protectionist tendencies and align on a unified standard for artillery munitions to increase their production.

After the approval of the NATO Defense Production Action Plan by the Alliance leaders in July 2023, NSPA entered into contracts for munitions totalling approximately $10 billion. Specifically, on behalf of a coalition of several European countries, NSPA signed a contract for the production of thousands of Patriot missiles in Europe, involving the expansion of production facilities in Germany. The assembly of these missiles will take place in the southern part of the country, at a specialized facility where technical maintenance of Patriot missiles is already conducted. A dedicated production line is currently being established for the manufacture of new missiles.

In addition, $4 billion were allocated for 155mm artillery system shells, anti-tank guided missiles, and tank ammunition. In November 2023, the NATO procurement agency also decided to purchase six E-7A Wedgetail aircraft. The corresponding contract is expected to be signed in 2024.

The Gaze reported that in the United Kingdom, BAE Systems secured a contract with the U.S. Army for the production of M777 howitzers, the demand for which sharply increased following their active use by the Armed Forces of Ukraine against Russian aggression.

The previous contract, valued at $50 million, involves the production of titanium structures for the M777 artillery systems, with the first batch expected to be ready by 2025. At the initial stage, the British manufacturer will also resume the production of components for the repair of howitzers.