The Swedish Defence Materiel Administration (FMV) has signed an agreement with the ammunition manufacturer Nammo to support a project application for investment in increasing artillery ammunition production capacity in Sweden.

"The investment is the third step in a large-scale effort to increase production of artillery ammunition and ensure continued support for Ukraine. The work is carried out within the framework of the Nordic defense cooperation Nordefco and is led by FMV," the Administration says on its website.

The agreement aims to increase the supply of 155mm artillery ammunition and strengthen the security of supply. The planned investments are partly financed by the Swedish state and partly by the EU. The agreement is converted into a final contract on the condition that the EU, in competition with other project proposals, releases funds during the first quarter of 2024.

"Now we are taking the next important step to accelerate investment in the production capacity of the industry. Thus, we reduce the delivery time, increase the ability to support Ukraine, and at the same time strengthen the security of the supply of artillery ammunition to Sweden and Scandinavia for the long term," said Jonas Lotsne, head of the FMV operations department.

FMV noted that earlier the countries of northern Europe signed a cooperation agreement and placed orders for the supply of ammunition to Ukraine.