Sweden taps Hanwha for Archer artillery charges as ammo shortage bites

Sweden’s move to diversify its ammunition supply chain through contracts with Hanwha reflects the challenging environment in Europe for ammunition production. 

Sweden has tapped Hanwha Aerospace for a three year framework agreement to supply propellant charges for the country’s 155 mm Archer self-propelled howitzers. The contract, which was signed during AUSA, also included an initial call-off of $105.4 million (£78.7 million/€90.6 million). 

The contract adds another qualified charge to the ammunition suite that Archer can fire in the short term, improving Sweden’s resilience, the October 15 news release states. Hanwha and Sweden already have agreements on propellant, with a contract announced in December 2024. 

The release adds that Sweden is continuing to work with Norway under the Nordic Defence Cooperation framework to build up long-term supply. Norway and Finland are joint owners of the ammunition company, Nammo. In June 2025, Sweden, Denmark, Finland, and Norway signed a strategic partnership agreement with Nammo AS to ensure a long-term, secure supply of ammunition for the Nordic countries. This partnership covers production, delivery, and joint R&D for ammunition like 155 mm artillery and small arms calibers.

This agreement built upon Sweden’s July framework agreement with Nammo for the supply of artillery shells and propellants for the Archer artillery system. This included an initial order worth over one billion SEK (similar to the amounts above) for Nammo’s 155mm High Explosive Extended Range (HE-ER) shells, with deliveries expected to start in 2028.

Calibre comment: You can’t fight without ammunition

Sweden has procured 48 additional Archer howitzers, which will be mounted on 8×8 trucks instead of the 6×6 Volvo chassis used by the original vehicles. However, despite many efforts, Europe is still taking time to increase its production of artillery ammunition. There are signs of recovery, Rheinmetall appears to have secured the lion’s share of production, and is also building new 155 mm factories in Latvia and Lithuania. The UK has committed to building six new ammunition factories, France is increasing its production, and Denmark has signed a contract with Nammo to restart domestic ammunition production. Note, however, that much of this activity involves building new factories, rather than immediately producing ammunition. By and large, the available production capacity for ammunition and propellant has been consumed, so new capacity must be generated. Buying from South Korea enables Sweden to ensure its supply in the short term whilst these efforts gain speed and come online. 

By Sam Cranny-Evans, published on October 16, 2025. The lead image shows an Archer firing in the snow in Sweden. Credit: Swedish MoD (FMV).