Financial support from Norway and EU ASAP programme contributes to KONGSBERG investing to increase their missile production capacity.
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Press Release, Kongsberg, 15 March 2024: Financial support from the Norwegian authorities and EU’s ASAP programme contributes to Kongsberg Defence & Aerospace (KONGSBERG) investing in more than NOK 640 million to increase their missile production capacity.
The security policy situation in Europe has increased the need to ensure the availability and supply of ammunition and missiles. Last year, the European commission launched the ASAP programme (Act in Support of Ammunition Production) to support the industry’s capability to increase the production capacity for ammunition and missiles.
During the last years, KONGSBERG has implemented several measures to increase the production capacity, such as the investment of a new missile factory in the city of Kongsberg, opening this summer. Now the capacity increases further – with the support from EU and Norway.
KONGSBERG’s investment includes equipment and machines to increase the capacity in the new missile factory, as well as a new facility to increase the production capacity for sensor components. In addition, there will be investments in the supply chain in order to ensure future supplies.
KONGSBERG plans to invest a total of NOK 640 million, of which the Norwegian authorities contributes with NOK 200 million and EU contributes with EUR 10 million.
“The support from the Norwegian and European authorities contributes to our ability to implement concrete measures to further strengthen KONGSBERG’s missile production capacity, reduce lead times and enhance the supply chain,” says Eirik Lie, President of Kongsberg Defence & Aerospace.
The Naval Strike Missile (NSM) is currently used by 14 nations, of which 11 are from NATO or the EU. These new investments will strengthen the already close collaboration on the NSM production across the European borders, by further developing an even more resilient missile ecosystem, to ensure supply and preparedness.
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Norway commits to investment aimed at reducing NASAMS delivery times.
Press Release, Kongsberg, 15 March 2024: The Norwegian government has today announced plans to order critical parts for the production of NASAMS air defence systems, aimed at improving the delivery times for launcher units upon the signing of new contracts.
The government has proposed an allocation of approximately NOK 941 million to Kongsberg Defence & Aerospace (KONGSBERG), as part of a new investment proposition for the Norwegian Armed Forces, which is being submitted to the Norwegian Parliament for political consideration.
“We must enhance Norway’s air defence capabilities to more effectively protect both civilian and military objectives from air attacks. The present security climate necessitates the expedited procurement of advanced air defence systems. The conflict in Ukraine has underscored the vital importance of air defence in wartime,” stated Prime Minister Jonas Gahr Støre in a government press release.
“KONGSBERG has already committed nearly three billion NOK to increase our own production capabilities in air defence and missile systems. We welcome the Government’s initiative to introduce new investment plans,” stated Geir Håøy, CEO of KONGSBERG.
NASAMS is currently used in 13 countries and is provided by KONGSBERG in collaboration with American Raytheon.
“We’ve seen an increase in delivery times. To address this, we aim to order critical parts now to speed up future procurements of NASAMS. Extended delivery periods are a widespread issue in the defence industry, and this initiative is expected to decrease production times,” stated Defence Minister Bjørn Arild Gram.
“This government initiative will allow us to expedite NASAMS deliveries once new contracts are finalised. It offers us the chance to secure critical components with lengthy delivery schedules sooner than was previously possible,” remarked Eirik Lie, CEO of Kongsberg Defence & Aerospace.
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