Suck My Glock
Member
Recent news indicates that manufacturers of ammunition see that expanding their capacity now is the time to do so. SIG announced that they are expanding their plant in Jacksonville, Arkansas. https://www.arkansasonline.com/news/2023/oct/07/arkansas-ammo-plant-expansion-announced/?business
And Fiocchi has announced they are dropping over 41 million $ to open a plant in Little Rock, Arkansas.
https://armoneyandpolitics.com/ammo-fiocchi-little-rock/
Part of the reason for this, aside from lessons of ammunition shortages of the past, is that the current borrowing crisis appears to be set to get worse. That means the cost of borrowing on credit to do things like build out capital infrastructure to increase manufacturing capacity is currently as cheap as it is ever going to be for the near future, and delay will only make executing plans for expansion more expensive unless manufacturers act now. Those ammo manufacturers who make the painful effort to borrow and expand now will be far ahead of those who sit on their hands and try to do it later.
So while hopefully the enemy loses next election, at least there appears to be a slightly better manufacturing base to serve us building up in time to weather whatever comes. As the interest rate crisis continues to threaten, we might see more industry get off their butts and do similar.
And Fiocchi has announced they are dropping over 41 million $ to open a plant in Little Rock, Arkansas.
https://armoneyandpolitics.com/ammo-fiocchi-little-rock/
Part of the reason for this, aside from lessons of ammunition shortages of the past, is that the current borrowing crisis appears to be set to get worse. That means the cost of borrowing on credit to do things like build out capital infrastructure to increase manufacturing capacity is currently as cheap as it is ever going to be for the near future, and delay will only make executing plans for expansion more expensive unless manufacturers act now. Those ammo manufacturers who make the painful effort to borrow and expand now will be far ahead of those who sit on their hands and try to do it later.
So while hopefully the enemy loses next election, at least there appears to be a slightly better manufacturing base to serve us building up in time to weather whatever comes. As the interest rate crisis continues to threaten, we might see more industry get off their butts and do similar.