Ordnance & Munitions Forecast

ARCHIVED REPORT
For data and forecasts on current programs please visit
www.forecastinternational.com or call +1 203.426.0800

Artillery Ammunition (Europe)

Outlook
 Serial production ongoing; international acceptance of NATO-standard 155mm ammunition
continues to grow
 Europe remains a major source of advanced artillery ammunition, despite increasing competition
on the international market
 We expect production from all European sources to average nearly one million rounds
(75mm-203mm) annually through 2019

Orientation
Description. Unguided artillery ammunition, 75mm Application. Unguided ammunition for tube artillery,
to 203mm. supporting offensive and defensive operations with
direct and indirect fire.
Sponsor. Both individual contractors and various
governments sponsor the development of artillery Price Range. In 2010 U.S. dollars, new-production
ammunition. European unguided artillery ammunition ranges in unit
price from $28.52 for the 76mm OF-350 High
Licensees. A number of firms and state-owned
Explosive Fragmentation (HE-Frag) round to $2,252 for
organizations around the world produce European
the 155mm OGRE F1 submunition-dispensing
pattern artillery ammunition under license. In addition,
projectile.
many European contractors produce U.S. pattern
ammunition under license. Unit price varies according to the type and quantity of
ammunition procured.
Status. Development through serial production.
Total Produced. Through 2009, we estimate the
various European contractors produced more than
71.9 million artillery rounds since 1980, inclusive.

Contractors
Prime
BAE Systems Land & Armaments, http://www.baesystems.com, The Steel, Ridsdale,, Bellingham, NE48 2EZ
Global Combat Systems - Northumberland, United Kingdom, Prime
Munitions
BAE Systems Land & Armaments, http://www.baesystems.com, Karlskoga, 691 80 Sweden, Tel: + 46 586 733 000,
Global Combat Systems - BAE Fax: + 46 586 850 30, Email: info.bofors@baesystems.se, Prime
Systems Bofors AB
Federal State Unitary Enterprise, http://www.rusarm.ru, 27/3 Stromynka St, Moscow, 107076 Russian Federation,

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Artillery Ammunition (Europe)

Rosoboronexport, Tel: + 7 495 964 61 40, Fax: + 7 495 963 26 13, Prime
Rosoboronexport State Corp
Hellenic Defence Systems (EAS) http://www.eas.gr, 1 Ilioupoleos Ave, Hymettus, Athens, 17236 Greece,
SA, (EBO-PYRKAL) Tel: + 30 210 979 0900, Fax: + 30 210 979 0800, Email: info@eas.gr, Prime

November 2010
Ordnance & Munitions Forecast Page 3

Artillery Ammunition (Europe)

Nexter Munitions http://www.nexter-group.fr, 7, route de Guerry, Bourges, 18023 France,

Tel: + 33 2 48 21 91 11, Fax: + 33 2 48 21 91 42, Prime
Patria Oy http://www.patria.fi, Kaivokatu 10 A, Helsinki, 00100 Finland, Tel: + 358 20 469 1,
Fax: + 358 20 469 2022, Email: info@patria.fi, Prime
RUAG Ammotec http://www.ruag.com, Uttigenstrasse 67, Thun, 3602 Switzerland, Tel: + 41 332 282 220,
Fax: + 41 332 282 627, Email: info.ammotec@ruag.com, Prime
Rheinmetall Defence http://www.rheinmetall-defence.com, Rheinmetall Platz 1, Düsseldorf, 40476 Germany,
Tel: + 49 211 473 01, Fax: + 49 211 473 4727, Email: info@rheinmetall-defence.com,
Prime
S.C. Arsenal-Resita SA, (formerly http://www.arsenal.ro, Barzavitei St, 4, Resita, 1700 Jud. Caras-Severin, Romania,
Arsenal Armatei) Tel: + 40 0255 250502, Fax: + 40 0255 225011, Email: factory@arsenal.ro, Prime

Comprehensive information on Contractors can be found in Forecast International's "International Contractors" series. For a detailed description,
go to www.forecastinternational.com (see Products & Samples/Governments & Industries) or call + 1 (203) 426-0800.
Contractors are invited to submit updated information to Editor, International Contractors, Forecast International, 22 Commerce Road, Newtown,
CT 06470, USA; rich.pettibone@forecast1.com

Technical Data
Note: This report addresses artillery projectiles only; it does not list separate cartridge or bag propellant
components.
Caliber Designation Type
Manufacturer – S.C. Arsenal-Resita SA
76mm OF-350 High Explosive Fragmentation
76mm OF-350A High Explosive Fragmentation
76mm BR-350B Armor Piercing-Tracer
76mm MK-354 Blank
76mm BK-354M High Explosive Anti-Tank Fin Stabilized-Tracer
76mm unknown High Explosive
76mm unknown High Explosive Anti-Tank
76mm D-350 Smoke
76mm POR-350 Target Practice-Tracer
98mm OF-402 High Explosive
98mm OF-403 High Explosive
98mm BK-1 High Explosive Anti-Tank
122mm OF-462 High Explosive Fragmentation
122mm S-463 Illumination
122mm Starshel 122 Cargo (radio jamming)
130mm unknown High Explosive
152mm OF-550 High Explosive
152mm M350/1 Cargo (Improved Conventional Munition)
152mm M350/1 ER Cargo (Improved Conventional Munition)
152mm unknown High Explosive Anti-Tank-Tracer

Manufacturer – BAE Systems Land & Armaments

105mm L31A1/A2/A3 High Explosive
105mm L37A1/A2 Red Smoke
105mm L38A1/A2 Orange Smoke
105mm L42A3 High Explosive Squash Head
105mm L43A2 Illumination
105mm L45A2 White Smoke
105mm RO 37-05A1 Target Practice (flash)
105mm RO 38-05A1 Target Practice (flash)
105mm ERM 1-HE BBU High Explosive Base Bleed
105mm ERHE2 BB High Explosive Base Bleed
105mm HE X/RO 03E1 High Explosive (extended range)
155mm RO 18-05A1/A2 Target Practice (flash)

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Artillery Ammunition (Europe)

Caliber Designation Type
155mm RO 22 (M107) High Explosive
155mm RO 23-05A1 Target Practice (flash)
155mm RO 24 (L15A2) High Explosive
155mm RO 24-05A1 Target Practice (flash)
155mm RO 25A1 Target Practice (flash)
155mm RO 30 High Explosive Base Bleed
155mm M110 White Phosphorous Smoke
155mm M116B White Phosphorous Smoke
155mm M118A2 Illumination
165mm L33A3 High Explosive Squash Head
175mm M437 High Explosive
203mm M106 High Explosive

Manufacturer – BAE Systems Bofors

105mm LUMA Mark 2 Illumination
105mm M60 White Phosphorous Smoke
105mm Mona Illumination
105mm Type 4140 High Explosive
120mm SGR M/70 High Explosive
120mm SMGR M/70 High Explosive Armor Piercing
120mm HCER High Explosive Armor Piercing
155mm MIRA Illumination
155mm MIRA ER Illumination (extended range)
155mm F1 High Explosive Base Bleed
155mm M/60 High Explosive
155mm M/77B High Explosive
155mm PRB Mark 10 High Explosive (Extended Range Full Bore)
155mm BOSS High Explosive Anti-Tank
155mm JUSTUS Illumination
155mm HEER High Explosive Base Bleed
155mm BONUS Cargo (submunition dispensing)
155mm FFV 431 Smoke
155mm FFV 007 Smoke
155mm FFV 007 IR Smoke (infrared screening)
155mm FFV 007 ER Smoke

Manufacturer – Rheinmetall Defence (includes former Eurometaal line)

105mm M1 High Explosive
105mm WP M60 White Phosphorous Smoke
105mm BE M84 Hexachlorethane Smoke
105mm ERM1-HE BBU High Explosive Base Bleed
155mm DM21 (M107) High Explosive
155mm DM105 Smoke
155mm DM106 Illumination
155mm DM652 (M864) Cargo (Improved Conventional Munition)
155mm M107 High Explosive
155mm M110 White Phosphorous Smoke
155mm M116 Hexachlorethane Smoke
155mm M483A1 Cargo (Improved Conventional Munition)
155mm M864 Cargo (Improved Conventional Munition)
155mm NR109 Illumination
155mm ERFB-HE High Explosive (Extended Range Full Bore)
155mm ERFB-BB-HE High Explosive (Extended Range Full Bore Base Bleed)
155mm ERFB-I Illumination (Extended Range Full Bore)
155mm ERFB-I Illumination (Extended Range Full Bore Base Bleed)
155mm ERFB-S White Phosphorous Smoke (Extended Range Full Bore)
155mm ERFB-S(BE) White Phosphorous Smoke (Extended Range Full Bore)
155mm Rh 49 Cargo (submunition dispensing)
155mm RB 63 Cargo (submunition dispensing)

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Artillery Ammunition (Europe)

Caliber Designation Type
175mm unknown High Explosive
203mm M106 High Explosive

Manufacturer – Nexter Munitions

105mm HE BT G1 High Explosive
105mm HE ER G1 High Explosive Base Bleed
105mm HE ER G2 High Explosive
105mm M1 High Explosive
105mm HE BT G1 High Explosive
105mm WP M60 White Phosphorous Smoke
105mm WP ER G1 White Phosphorous Smoke Base Bleed
105mm WP BT G1 White Phosphorous Smoke
105mm M84A1 Hexachlorethane Smoke
105mm M314A3 Illumination
105mm M395 Blank
130mm unknown High Explosive (Extended Range Full Bore Base Bleed)
130mm unknown White Phosphorous Smoke Base Bleed
142mm unknown High Explosive (demolition round)
155mm NR 265 High Explosive (Extended Range Full Bore Base Bleed)
155mm NR 267 White Phosphorous Smoke (Extended Range Full Bore)
155mm NR 269 Cargo (Extended Range Full Bore)
155mm NR 173 High Explosive (Extended Range Full Bore)
155mm OE 155 F1 High Explosive
155mm OE 155 H2 High Explosive Base Bleed
155mm OE 155 H3 High Explosive Rocket Assisted Projectile
155mm OE 155 56/69 High Explosive
155mm OECL 155 F1 Illumination
155mm OFUM 155 F1A White Phosphorous Smoke
155mm OFUM 155 F2A White Phosphorous Smoke
155mm OGRE 155 F1 Cargo
155mm OMI 155 H2 Cargo
155mm OX 155 F1 Target Practice
155mm OX 155 56/69 Target Practice
155mm 155 PRAC SRF1 Target Practice

Manufacturer – Nexter Munitions/Luchaire

105mm OE High Explosive
105mm OFUM M60 White Phosphorous Smoke
105mm M107 High Explosive
105mm PL/PN Practice
105mm ECL Illumination
155mm ECL 155 F1 Illumination
155mm FUM (M110) White Phosphorous Smoke
155mm 155 LU 111 HB High Explosive
155mm 155 LU 111 BB High Explosive Base Bleed
155mm 155 LU 112 HB Inert
155mm 155 LU 112 BB Inert
155mm 155 LU 114 HB White Phosphorous Smoke
155mm 155 LU 114 BB White Phosphorous Smoke-Base Bleed
155mm 155 LU 118 HB White Phosphorous Smoke
155mm 155 LU 118 BB White Phosphorous Smoke-Base Bleed
155mm M107 High Explosive
155mm M118A2 Illumination
155mm OE High Explosive
155mm OFUM 155 F1A Smoke
155mm OFUM 155 F2A Smoke
155mm PL/PN Practice
155mm PRAC SR F1 Target Practice
155mm X ECO Target Practice (reduced range)

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Artillery Ammunition (Europe)

Caliber Designation Type
175mm M437A1/A2 High Explosive
203mm M106 High Explosive

Manufacturer – Hellenic Defence Systems (EAS) SA

105mm M1 High Explosive
155mm M107 High Explosive
155mm M110A2 White Phosphorous Smoke
203mm M106 High Explosive

Manufacturer – RUAG Ammotec (former Hirtenberger Defence Systems line)

105mm BE M84 White Phosphorous Smoke
105mm M1 High Explosive
105mm M60 White Phosphorous Smoke
105mm M314A2 Illumination
105mm M395 Blank
122mm unknown High Explosive
122mm unknown White Phosphorous Smoke
122mm unknown Illumination
130mm SEN-HE High Explosive (Extended Range Full Bore)
130mm unknown White Phosphorous Smoke
130mm unknown Illumination
155mm M107 High Explosive
155mm M110 White Phosphorous Smoke
155mm M116B White Phosphorous Smoke
155mm M118A2 Illumination
155mm SEN-HE High Explosive (Extended Range Full Bore)
155mm SEN-HE/BB High Explosive (Extended Range Full Bore Base Bleed)

Manufacturer – Patria plc

122mm unknown High Explosive
122mm unknown Illumination
122mm unknown White Phosphorous Smoke
122mm unknown Cargo
130mm unknown High Explosive
130mm unknown Illumination
130mm unknown White Phosphorous Smoke
152mm unknown High Explosive (Extended Range Full Bore)
152mm unknown High Explosive (Extended Range Full Bore Base Bleed)
152mm unknown High Explosive
155mm unknown High Explosive (Extended Range Full Bore)

Manufacturer – FSUE Rosoboronexport

76mm BK-354M High Explosive Anti-Tank - Fin Stabilized-Tracer
76mm BR-354P High Explosive Armor Piercing
76mm OF-350/350A High Explosive Fragmentation
76mm BR-350B Armor Piercing Tracer
85mm BK-2M High Explosive Anti-Tank - Fin Stabilized
85mm BR-365 Armor Piercing-Tracer
85mm BR-365P High Velocity Armor Piercing-Tracer
85mm O-365K High Explosive Fragmentation
100mm BM-8 High Velocity Armor Piercing Discarding Sabot -Tracer
100mm BR-412 Armor Piercing Capped Tracer
100mm BR-412B Armor Piercing Capped Tracer
100mm 3UOF32 High Explosive Fragmentation
100mm OF-214 High Explosive Fragmentation
100mm ZBK-5M High Explosive Anti-Tank - Fin Stabilized
120mm unknown High Explosive
120mm unknown High Explosive Anti-Tank
120mm unknown High Explosive Rocket Assisted Projectile
122mm G-462 Cargo (leaflet)
122mm G-463 Cargo (leaflet)

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Artillery Ammunition (Europe)

Caliber Designation Type
122mm BK-6M High Explosive Anti-Tank - Fin Stabilized
122mm BK-13 High Explosive Anti-Tank - Fin Stabilized Tracer
122mm BK-13M High Explosive Anti-Tank - Fin Stabilized Tracer
122mm BP-463 High Explosive Anti-Tank
122mm BR-472 Armor Piercing Capped Tracer
122mm unknown High Explosive Rocket Assisted Projectile
122mm D-462 Smoke
122mm OF-462 High Explosive Fragmentation
122mm OF-471N High Explosive Fragmentation
122mm OF-472 High Explosive Fragmentation
122mm 3OF56 High Explosive Fragmentation
122mm PVM-ZA Target Practice Tracer
122mm PVM-ZRU Target Practice Tracer
122mm PVM-ZRB Target Practice Tracer
122mm S-462 White Phosphorous Smoke
122mm S-463 Illumination
122mm unknown Incendiary
122mm unknown Chemical
122mm unknown Anti-Personnel (flechette)
130mm BR-482B Armor Piercing Capped Tracer
130mm DTs-1 Smoke
130mm 3OF33 High Explosive Fragmentation
130mm OF-482M High Explosive Fragmentation
130mm SP-46 Illumination
130mm unknown Chemical
130mm unknown High Explosive Rocket Assisted Projectile
152mm BR-540 Armor Piercing Tracer
152mm D-540 Smoke
152mm 3-O-13 Cargo (submunition dispensing)
152mm unknown Cargo (smart submunition dispensing)
152mm G-530 Concrete Piercing
152mm G-545 Concrete Piercing
152mm OF530 High Explosive Fragmentation
152mm OF530A High Explosive Fragmentation
152mm OF540 High Explosive Fragmentation
152mm 3OF9 High Explosive Fragmentation
152mm 3OF25 High Explosive Fragmentation
152mm 3OF45 High Explosive Fragmentation
152mm 3OF56 High Explosive Fragmentation
152mm 3OF59 High Explosive Fragmentation
152mm 3OF61 High Explosive Fragmentation Base Bleed
152mm 3OF64 High Explosive Fragmentation
152mm 3OF66 High Explosive Fragmentation
152mm S-540 Illumination
152mm unknown Chemical
152mm unknown High Explosive Rocket Assisted Projectile
152mm 3RB30 Cargo (electronic)
152mm BR-540 Armor Piercing Tracer
152mm unknown Nuclear
180mm F-372 High Explosive
180mm G-572 Concrete Piercing
180mm OF23 High Explosive Fragmentation Rocket Assisted Projectile
180mm unknown Nuclear
203mm 3OF43 High Explosive Fragmentation
203mm 3OF44 High Explosive Fragmentation
203mm 3-0-14 Cargo (submunition dispensing)
203mm unknown High Explosive Rocket Assisted Projectile

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Artillery Ammunition (Europe)

BAE Systems 155mm AS90 in Action during Operation Telic

Source: U.K. Ministry of Defence

Variants/Upgrades
Variants. Not generally applicable. Upgraded rounds Modernization and Retrofit Overview. Not
usually carry new designations to distinguish them from applicable.
other projectiles of a similar design.

Program Review
Background. Since the first cast-iron cannon  A reconnaissance and battle damage assessment
appeared on the continent in the 14th century, Europe capability
has remained the center of artillery development.
 An ammunition tagging and tracking system
Market Trends More than 40 European contractors are currently
In today's artillery market, ammunition development involved in the artillery ammunition market. In this
exhibits three major trends: report, we briefly review only the most active players so
as to present a cross-section of the entire market.
 Refinements in ballistics and propellants
technology Finland
Patria plc. In 1991, the merger of the old
 Development of delayed-action submunitions government-owned Vammaskoski Works and the
 Development of terminal guidance for artillery Defense Division of Tampella Ltd created this firm,
projectiles which now operates as the Patria Group. This player has
also absorbed the Valmet firm, which produced 122mm
The NATO Advanced Future Artillery Ammunition and 130mm ammunition. Patria is the major supplier of
Systems (AFAAS) requirement, as the next generation artillery ammunition to the Finnish Army. Its products
of artillery ammunition for NATO, is quite lucrative, include 105mm, 122mm, 130mm, 152mm, and 155mm
with international sales almost certain. The AFAAS rounds, including Base Bleed and Hollow Bleed
program incorporates the following major features: variants.
 Increased range and accuracy
 Incorporation of insensitive munitions technology

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Artillery Ammunition (Europe)

Patria ERFB Rounds round carrying 88 submunitions) and the OMI 155 H1
(a round carrying anti-tank mines). Since the
More recently, Patria began developing Extended Range introduction of this ammunition with the French Army
Full Bore projectiles in the standard and Base Bleed in 1990 as the OGRE 155 G1, the contractor has
versions for both Russian-standard 152mm and NATO- secured at least five export orders for the ammunition.
standard 155mm artillery. What is unique about the
Patria version is that the projectiles do not feature barrel In response to a perceived demand, Nexter has also
riding nubs. Instead, they have an advanced, streamlined developed and produced 130mm Base Bleed
design to reduce drag. The company claims this design ammunition for the Russian M-46 field gun. In early
feature is easier and less costly to manufacture; it also 2000, an unidentified African nation reportedly
reportedly offers reduced bore wear and a slightly purchased this round.
increased payload. Patria has not reported any sales of More recently, (then) Giat Industries and Bofors teamed
this new line of ammunition; unconfirmed reports up for the continued development of the 155 BONUS
suggest the Finnish Army may have purchased some of smart submunition-dispensing projectile. For more
this ammunition. information on this round, see our "BONUS" report in
France Tab G.
Nexter Munitions. Reorganized as a private entity in The Luchaire Line. As we indicated above, the
1990, this French firm (formerly the Giat Industries internationally famous Luchaire firm no longer acts as a
Weapon Systems and Ammunitions Division) has distinct entity; it has operated as a component of Giat
become a major player in the artillery ammunition Industries (now Nexter Munitions) since the early
market. 1990s. Luchaire's ammunition types and Base Bleed
Corporate Evolution units were essentially identical to those of Poudres
Reunies de Belgique, another Giat acquisition. These
In October 2006, Giat Industries approved a Base Bleed units have the advantage of being "add-on"
reorganization and an associated name change to units compatible with the F1 standard High Explosive
Nexter. Under the restructuring, the group maintains round. Luchaire also exported a 130mm variant of the
four core operations: Base Bleed unit for use in the Soviet M-46 towed
artillery system.
 Nexter Systems
French industry is also involved in advanced fuze and
 Nexter Munitions terminally guided projectile development. Luchaire has
 Nexter Electronics been working on optronic fuze development, which is
an area of interest to a number of German firms,
 Nexter Mechanics including AEG, Diehl, and Junghans.
The move reportedly better prepares the firm for Federal Republic of Germany. The German players
consolidation in the near future, possibly with either continue to be among the world leaders in all aspects of
Thales or EADS. artillery, including the ammunition.
In addition to acquiring the assets of Poudres Reunies Rheinmetall Defence. The Federal Republic of
de Belgique, Giat Industries had also acquired Luchaire. Germany is sponsoring a wide range of research and
The Luchaire artillery ammunition line remains in development programs related to artillery ammunition,
production under the Nexter banner. including advanced fuze technology work. Rheinmetall
Extensive Product Line has conducted research into enhanced lethal-effect
ammunition, particularly for 155mm and 203mm
These acquisitions have allowed Nexter to market an projectiles. These rounds employ submunition and
extensive line of standard pattern projectiles and fragmentation effects to defeat hard and semi-hardened
Extended Range artillery ammunition, including targets.
standard Base Bleed and hybrid external burning
DM642 ICM Round. In the field of Improved
rounds. The OE DTC 155 H2 Base Bleed round has
Conventional Munitions (ICM), Rheinmetall (the
found significant success on the export market, as have
leading German manufacturer in this field) and Simmel
other Extended Range Full Bore types.
Difesa of Italy have conducted joint development of the
On a private basis, Nexter has been conducting research DM642 (company designation RB 63) submunition-
into improved-effect cargo ammunition. The two dispensing round for the German and Italian armies.
prototypes to emerge from this work are the The current production-standard of this round carries 63
OMI 155 F2 (an anti-vehicle/anti-personnel bomblet DM1383 submunitions. Germany, Italy, and one

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Artillery Ammunition (Europe)

undisclosed export customer have procured the DM642. Romania

A similar but more aerodynamically refined projectile is S.C. Arsenal-Resita SA. Formerly the state-owned
the DM652 (company designation Rh 49), which carries Arsenalul Armatei organization, this contractor operates
49 DM1383 submunitions to a maximum range of four ammunition facilities in Romania. The firm
30 kilometers (32,808 yd). produces several specialized rounds for the Romanian
76mm Mountain Gun (the Russian pattern OF-350) and
In June 1996, Rheinmetall and Israel Military Industries
the 100mm Mountain Howitzer. In addition, the
(IMI) announced that they would cooperate on
contractor produces a line of unique 98mm rounds for
development of Improved Conventional Munitions
the Model 93 Mountain Howitzer, an indigenous design
projectiles and the associated submunitions.
that the Romanians have not exported.
Acquiring the Eurometaal Line Arsenal-Resita may also produce some Russian-pattern
With its acquisition of Eurometaal Holding NV ammunition. The Romtehnica organization handles
(Zaandam, the Netherlands), Rheinmetall inherited this international marketing; the Romanians have not
Dutch player's extensive line of artillery ammunition released sales data.
products. The former Eurometaal catalog includes a full Another somewhat mysterious round is the M350/1
line of NATO-standard ammunition; Eurometaal also cargo (Improved Conventional Munition) round, which
held the European license for production of the U.S. dispenses 56 anti-armor/anti-personnel submunitions.
155mm M483A1 Improved Conventional Munition This round is available in standard and extended-range
(ICM) round. This round, along with the company's (Base Bleed) versions. Israel Military Industries (IMI)
Extended Range ammunition, gave Eurometaal may have participated in the development of this round,
opportunities for substantial sales, particularly with as it appears in IMI sales literature.
regard to Europe's growing demand for Extended Range
Full Bore ammunition. Russian Federation. The Russians offer a significant
portion of their huge stock of artillery ammunition on
Eurometaal also produced (under license) the M864, the the international market at bargain-basement prices.
follow-on to the M483 projectile. In 1989, Eurometaal
began developing the ERM1-HE BBU Extended Range The Russian Federation continues to consolidate its
round in conjunction with (then) Royal Ordnance. The ammunition manufacturing infrastructure, while
round is optimized for the L119, LG1, and enhanced developing new ammunition types employing modern
versions of the M101 artillery pieces. Development and technology. State-owned and -operated facilities still
qualification were complete in 1997; the round is now produce the majority of artillery ammunition in the
available for sale. The ERM1-HE BBU is reportedly Russian Federation. Over the next several years,
30 percent more lethal than the standard M1 round. semi-private organizations should become increasingly
active in the export market.
Greece. In 1991, the Greek Powder & Cartridge
Company (PYRKAL) and Hellenic Arms Industry FSUE 'Rosoboronexport.' This organization acts as
(EBO) began a merging process under which Hellenic the primary conduit between the Russian defense
would absorb PYRKAL under a unified corporate industry and the international market. All Russian
structure. defense contractors thus effectively operate under the
auspices of Rosoboronexport. Major Russian
Hellenic Defence Systems (EAS) SA. This firm has contractors (under Rosoboronexport) involved in the
recently developed two extended-range projectiles, unguided artillery ammunition market include the
ERMIS and ERA. The M107/B ERMIS (Enhanced following:
Range Modified Integration System) is a Base Bleed
version of the standard M107 projectile. The ERA The Engineering Research Institute (NIMI), located in
(Extended Range Ammunition) utilizes Base Bleed in Moscow, claims to be the major developer of artillery
conjunction with a new aerodynamic shape. Compatible rounds in the Russian Federation. In addition to
with 39-caliber artillery (such as the 155mm M109 conventional designs, this organization has also
self-propelled howitzer), it forms a complete family of developed a submunition-dispensing projectile with
ammunition, featuring extra explosive content for anti-armor submunitions similar to those of the
destructive effect at the target. long-troubled U.S. Sense and Destroy Armor program.
NIMI is developing its munition to be compatible with
Hellenic Defence Systems is expanding its activities to NATO-standard 155mm ordnance.
such an extent that the factory at Lavrion has become
one of the largest in Europe. The Nitro-Vzryv organization produces explosive
fillings and possibly propelling charges.

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Artillery Ammunition (Europe)

The State Engineering Research Institute GosNIII develop the BONUS dedicated submunition-dispensing
develops and produces submunitions (mines) for carrier anti-armor round in a two-phase deployment system.
projectiles. The HEER (High Explosive Extended Range) round is
compatible with all NATO-standard 155mm howitzers;
The Kotovsky Zavod Plastmass State Enterprise
it is available in Boat Tail and Base Bleed versions. By
develops and produces propellant charges.
early 2001, Bofors had produced around 414,000 HEER
The State Research and Production Enterprise Bazalt rounds. In 1999, after its self-imposed embargo, India
develops and produces 120mm 2A60 gun/mortar resumed its procurement of ammunition (including the
ammunition. HEER round) from Bofors.
One of the latest unguided artillery projectile Bofors is increasing its efforts to license its designs
developments from the Russian Federation is a 152mm around the world.
projectile dispensing two top-attack anti-armor
Switzerland
submunitions. The projectile has a projected weight of
RUAG Ammotec. With its acquisition of Hirtenberger
40.7 kilograms (89.54 lb) and a maximum range of
Defence Systems (Hirtenberg, Austria), RUAG
20 kilometers (21,872 yd). The two available
continues to offer the Hirtenberger line of Extended
submunitions are similar in concept to the now-dead
Range Full Bore ammunition, optimized for the
U.S. Sense and Destroy Armor type.
extended-range Voest Alpine GHN-45 howitzer.
Sweden Hirtenberger had originally developed its line of ERFB
BAE Systems Bofors. Formerly Bofors Defence AB, ammunition from the PRB Mk 10 round. This spawned
this reorganized Ordnance Division of Bofors again the advanced model SEN Extended Range Full Bore
operates under the famous Bofors name. In this latest of shell and the SEN-BB, a Base Bleed variant capable of
several complex acquisitions, mergers, and name 39.6-kilometer ranges. While the specialized
changes, Bofors absorbed the Forenade Fabriksverken ammunition is no longer in production, it remains in
firm, along with its product line. widespread service, especially in the Middle East.
Corporate Evolution United Kingdom
BAE Systems Land & Armaments. Once the
In 2000, United Defense Industries purchased Bofors. world-famous RO Defence firm, this contractor has
The contractor then began operating as Bofors been a component of BAE Systems since mid-2000. Its
Defence AB, a wholly owned subsidiary of UDI. In Munitions & Ordnance division continues to produce
June 2005, BAE Systems acquired United Defense, and artillery ammunition for the British Army, despite its
with it, Bofors Defence AB. The prime contractor now loss of preferred status following privatization and the
operates as BAE Systems Land & Armaments, BAE loss of the 155mm modular artillery charge contract to
Systems Bofors. South Africa in 1999.
Focus on NATO Standard In addition to producing NATO-standard ammunition
for the M107, M109, and new Artillery System 90
Bofors produces a full line of 105mm and 155mm
Braveheart self-propelled systems, BAE Systems
ammunition, including 105mm projectiles for the
produces 155mm ammunition for the towed FH 155-1
Type 4140 light howitzer and NATO-standard 155mm
howitzer. This ammunition was the result of trilateral
projectiles for the FH-77 and FH-77B. The relevant
cooperation in the design phase by the United Kingdom,
HE M/77B ammunition is fully compatible with any
Italy, and Germany. When it was originally introduced,
NATO-standard 155mm artillery system. Bofors
the ammunition had greater lethality and range than
continues production of the MIRA illumination round,
most other ammunition of the same caliber.
both in standard and extended-range versions.
BAE Systems ammunition products enjoy wide use by
Bofors is involved in separate projects to develop an countries that employ U.S. and British field artillery.
all-Swedish Extended Range Full Bore/Base Bleed
round and an Extended Range charge system for Extended Range Technology
standard ammunition. Bofors currently produces the BAE Systems currently devotes its development efforts
Extended Range Full Poudres Reunies de Belgique Bore to Extended Range technology, with work continuing on
Mark 10 round and the Luchaire High Explosive Base range-enhancing charge increments. The contractor's
Bleed round under contract. latest line of 155mm ammunition – actually a private
Bofors has also been working on the development of venture – is being well received on the international
two sophisticated artillery projectiles. As we mentioned market. The High Explosive member of this line is
earlier, Bofors and Nexter have teamed to further

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Page 12 Ordnance & Munitions Forecast

Artillery Ammunition (Europe)

capable of achieving 30,000-meter (32,808-yd) ranges striven to gain more international contracts. This effort
for use in 39-caliber guns. received a blow in 1996 when India refused to sign a
contract worth $72 million for 80,000 155mm
BAE Systems also continues its cooperation with the
projectiles on the basis that RO Defence did not include
former Eurometaal (now a component of Rheinmetall
any manufacturing technology transfer support with the
Defence) on the 105mm ERM1-HE BBU extended-
contract.
range round. In 1997, RO Defence and Eurometaal
completed development of the ERHE2 BB round, At home, the contractor lost out to Israel Military
offering greater range and lethality than the Industries (IMI) for a 1995 contract worth $79.2 million
long-standard L31A3 projectile or the ERM1-HE BBU. to supply the British Army 155mm extended-range
This munition, recently redesignated the submunition-dispensing projectiles.
HE X/RO 03E1, has reportedly scored at least one
Most recently, BAE Systems has been addressing the
significant export sale.
British Army's Tubed Artillery Conventional
A Tough International Market Ammunition System (TACAS) requirement. For this
program, the contractor has teamed with Denel of South
With the major reductions in ammunition procurement Africa.
by the U.K. Ministry of Defence, the contractor has

Related News
Germany Cutting Personnel, Perhaps Programs – Germany will field a smaller military in the future.
German Defense Minister Karl-Theodor zu Guttenberg has revealed plans to cut the total number of soldiers to
around 165,000 from its current total of 252,000. After the cuts, the German Army will field only three tank
battalions, two artillery battalions, and one paratrooper regiment. Germany also plans to eliminate conscription. The
German Ministry of Defense aims to cut some EUR8.3 billion ($10.6 billion) from its budget over the next four
years. Minister Guttenberg warned that personnel cuts alone will not be enough to meet this target. Germany must
also find savings in new armament projects. (Deutsche Welle, 8/10)
U.K. Eyes Defense Cuts – The new Conservative-led government in the United Kingdom is looking to cut
defense spending. The new British coalition government said it must rein in the nation's soaring debt quickly. The
government will also initiate a new defense review. Reports say major cuts are coming.
Cutting defense spending will not be easy. The new government is considering cutting civilian defense jobs. The
British Ministry of Defence could retire aging tanks, vehicles and artillery. In addition, the Royal Air Force may
have to make do with fewer fighters. Also, there may be delays in replacing the Royal Navy's four Vanguard-class
ballistic missile submarines. (Defense News, 5/10)
Russia Called on to Arm Afghanistan Security Forces – NATO is planning to ask Russia to donate
equipment to the Afghan National Army (ANA), including AK-47 assault rifles, grenade launchers, machine guns,
artillery, armored vehicles, fuel and other items. The equipment now used by the ANA is primarily Russian. The
ANA numbers close to 100,000 men, but is scheduled to expand to 134,000 by October 2010. A further 100,000
soldiers will be added to the ANA's strength over the next three years. (Townhall, 12/09)
Market Intelligence Service Subscribers: For additional news, go to the on-line E-Market Alert page located in the Intelligence Center at
www.forecastinternational.com and click on the links to the products you subscribe to.

Funding
Individual contractors and various governments fund the development of ammunition programs.

Timetable
Several European players will likely soon field enhanced guided projectiles using improved forms of guidance such
as advanced infrared or millimeter wave. These technologies may also be incorporated in submunition-dispensing
rounds.

November 2010
Ordnance & Munitions Forecast Page 13

Artillery Ammunition (Europe)

Worldwide Distribution/Inventories
European artillery ammunition is widely available worldwide.

Forecast Rationale
Serial production of artillery ammunition is ongoing ammunition remains because of the large number of
throughout Europe for domestic procurement and pieces still in service worldwide. In fact, force
export. While Europe remains a leading supplier of transformation initiatives may give 105mm ordnance a
advanced artillery systems and ammunition on the whole new lease on life, as 105mm systems are
international market, European players face increasing particularly well-suited for highly mobile medium force
competition from non-Western producers. requirements.
Consolidate and Survive Europe's Healthy Market Share
To counter their outside competitors, European players The European market for artillery ammunition remains
are continuing to consolidate, establishing a growing quite healthy even though it is not as large as it once
number of teaming arrangements with both European was. Production averages nearly one million rounds per
and non-European contractors. With each annual update year among the European players. At its height during
of this report, we witness an ongoing process of the Cold War, the European artillery ammunition
corporate mergers and acquisitions in this market. industry – on both sides of the Iron Curtain – produced
millions of artillery projectiles per year.
NATO-Standard Dominance
With the development of enhanced-performance
The growing acceptance of NATO-pattern 155mm (extended-range and terminally guided) projectiles, the
artillery and ammunition as the international standard European players will also command an increasingly
for both self-propelled and towed field artillery pieces large share of the total value of the international artillery
continues to be the single greatest technical factor ammunition market.
impacting this market. Still, a secure market for 105mm

Ten-Year Outlook
Given the scarcity of open-source data regarding European artillery ammunition production, developing a viable
10-year production outlook has become increasingly problematic. Nevertheless, the Forecast International Weapons
Group expects the combined output of European manufacturers will average nearly 1 million rounds per year
through 2019.

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©2010 November 2010