From here: www.dailystar.com/dailystar/news/21194.php

Army running out of ammo, seeks bullets from foreigners
BLOOMBERG NEWS

The U.S. Army said it will seek bullets from commercial and foreign producers because its biggest ammunition supplier, Alliant Techsystems Inc., can't keep up with demand.

"The hope is to get it from the U.S., but worldwide suppliers are out there that provide this and it might not be totally available in the U.S.," said Lieutenant Colonel Matthew Butler, Army product manager for small- and medium-caliber ammunition.

Edina, Minnesota-based Alliant Friday said demand is rising to its highest level since the Vietnam War.

To make up for the shortage, the Army recently awarded contracts to state-owned Israel Military Industries Ltd. and Olin Corp.'s Winchester unit, each for 70 million rounds, Butler said in a telephone interview. He said he couldn't disclose the value of the contracts.

The Army wants to buy about 1.4 billion bullets this year and have the capacity for 2 billion rounds a year, Butler said. That is more than Alliant can make, and there are few other companies that can make military ammunition on such a large scale. The Army plans to seek a company able to coordinate production of as much as 500 million rounds by a number of smaller producers, Butler said.

"The strategy now going forward is to go through an integrator or someone who brings all that worldwide capacity together for us," said Butler, 41. "I don't think there is anyone out there who could do it and make U.S. ammo."

The Army on May 18 will meet with as many as 18 ammunition makers in Rock Island, Ill., to seek an integrator. That contract, the value of which hasn't been determined, will be awarded between December and April, Butler said.

Besides Israel Military and Winchester, another potential supplier is Montreal-based SNC-Lavalin Group Inc., Butler said. He wouldn't say which companies will attend. Danielle St. Pierre, spokeswoman for SNC's ammunition unit, said she couldn't immediately comment.

Alliant will make 1.2 billion bullets this year, up 20 percent from last year, and plans to add capacity for another 300 million rounds, Chief Executive Officer Daniel Murphy said Friday during a conference call. The Army will seek the balance from other suppliers, Butler said.

The U.S.-led coalition in Iraq is struggling to control rising violence that in April alone killed more U.S. soldiers than during last year's war, which lasted about six weeks. With U.S. troops engaged abroad, live-fire training exercises to boost preparedness have also increased demand, Butler said.

"It's a surprise they are using so much ordnance over there," said Philip Finnegan, an analyst for the Teal Group consultancy in Fairfax, Virginia. "No one would have expected this a few months ago."



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Mike

I knew that XM193 would come in handy some day!

The Army sez I'm too old to hunt Al Qaeda. Maybe they'll re-consider if I bring my own ammo!.

I might need a truck or two mules to haul it but I'm willing to share.

Just remember almost all the ammo is used in training for combat.  Troops are doing more realitic battle drills then just zeroing and qaulifiying.  

I'm going to show up to the conference with my Reloader!

What is the status of all of the government ammunition plants in mothballs in Northeast Texas.  From speaking with a number of contractors and machining equipment suppliers, after their initial pilot production run, the plants were operational.  The question is "what were the logistics war planners thinking about before fighting in Iraq?"  The answer is probably budget numbers and not enough bullets for the GI's.

Quoted: Quoted: I knew that XM193 would come in handy some day! I thought they were mostly using M855 these days.

True, but M4's get better pin action with M193.

Quoted: Quoted: Quoted: I knew that XM193 would come in handy some day! I thought they were mostly using M855 these days. True, but M4's get better pin action with M193.

Correctomundo!

This is a little off topic, but I think that the supply of XM-193 ammo is beginning to dry up. Wholesale Hunter, and Natchez are both currently out of stock. I have not checked with Ammoman yet. I heard that Federal was suspending XM-193 shipments until further notice, but I didn't think it would sell out so fast.

I heard this rumor from a friend who is a retired Gunny who heard it through the grape vine months ago.
Its all about money Im willing to bet.Man the military is worse than my uncle about getting the cheapest price.
Man I know Remington could chuck out a ton of ammo.Not to mention Federal and Winchester.
If they dont have the machines to make enough...then they can buy them ASAP...all they need is the contract.
They sure as hell made plenty of ammo during WW2 at a moments notice.Not to mention weapons.
But you know back then the U.S. was self supporting and things were made here when needed,not imported.But back then we were the the leading industrial country and could make what we needed.
I say open up the plants Clinton closed and get some of us Americans back to work...run them 24/7 if needed.
Raymond

Tell them they can buy the Wolf ammo cheap!

Troy is correct as usual but Blankwaffe98 is also correct. It sickens me that this government will import ammunition when it can be made here. Of all things to pay others to make and then import in, at that. Idiots.

Yeah and if the Govt would start selling us the out of date mil-surp again instead of demilling it they could put that money back in the pot to buy more stuff.
Oh the days when I could buy LC 7.62 on the links in a can for $25.00 a pop.
Wish I had some right now.
As a matter of fact I decided last year that Im not buying anymore imported commercial ammo after talking with a rep from Remington.Not that he said anything bad about the imported cheap stuff...and neither do I...Id just rather spend my money on quality made U.S. ammo even if I do have to pay more.
After my last layoff Id rather support folks working here.
Remington,Federal and Black Hills gets my money these days.Heck the Black Hills remaned ammo is dirt cheap and uses U.S.G.I. 5.56 cases.Reloaders wet dream let me tell you...Quality stuff too...and my Armalites have thanked me for it.
Raymond