The Office of the President of Ukraine announced a significant agreement between the Ukrainian Defense Industry JSC (UDI) and the U.S. defense industry giant Northrop Grumman to establish a new enterprise specializing in NATO standard medium-caliber ammunition. This initiative marks Northrop Grumman as the first American company to produce weapons in Ukraine.
The interest of Northrop Grumman to open an ammo factory in Ukraine were initially announced in mid-June 2024. This agreement confirms the commitment. As planned, the facility will focus on producing medium-caliber ammunition, which typically includes 20x102, 30x113, 30x173, 40x180, and 50x228 millimeter rounds for automatic guns such as the M61 Vulcan or Bushmaster Chain Gun (M230, Mk44, and XM913).
Read more: Nammo Increases Ammunition Production 10 Times to Meet Ukraine's Needs
As noted by Breaking Defense, according to the terms of the agreement, none of the company's employees will be on the territory of Ukraine. "We will do this work from our operations in the United States," one Northrop Grumman employee confirmed in a comment to this media outlet.
The agreement stipulates that Northrop Grumman will supply all necessary equipment, train personnel, and set up the assembly line in Ukraine. Ukrainian specialists will receive training outside of the country.
For security reasons, some details remain undisclosed. Breaking Defense' sources refused to say when the production of ammunition can start, only saying that the parties are "working very quickly."
Northrop Grumman's Global Business Development Officer, Steve O’Bryan, noted how cooperation with Ukraine, among other things, "expands capacity that we need desperately across the world. It’s not just the capacity we’re looking for in the United States. It’s those coproduction [agreements - ed. Breaking Defense], co-development and partnerships that are going to expand capacity across through the whole region."
Dave Bartell, the company's international cooperation director, added that production of medium-caliber ammunition is Northrop Grumman's first project that is "paid for with Ukrainian dollars." Subsequently, they intend to expand this cooperation:
"We are looking to expand that into tank ammo, 155 mm, others as we find innovative processes," Bartell said.
Additionally, during his U.S. visit for the 75th NATO Summit, Ukrainian President Volodymyr Zelenskyi met with top managers from various other American arms manufacturers, including BAE Systems, Day & Zimmermann, Boeing, Sierra Nevada Company, RTX, Lockheed Martin, General Dynamics, D&M Holding, AeroVironment, and Amentum.
Read more: US Loses European Market Due to Ban on Ukraine Striking russia: EU to Develop Own Cruise Missile
