Posted by Brent on Dec 17th 2022
SITREP - AMMO
I've had a lot of questions regarding how the sanctions on Russian ammo could affect us.
The sanction took effect Sept. 7 2021. We did see a short surge in price with this news but prices eventually stabilized.
What many do not know was there was a grace period for the import of this ammo and as of early December these import permits will not be authorized.
What does this mean for us and what can we expect in the near future?
I can tell you that roughly 30-40% of the ammo bought in the US is Russian made according to multiple reports. (sources https://lnkd.in/e8SzMVHk)
What isn't being reported is the massive amount of primers supplied by Russia for ammo production in the US. Some estimate more than 50% of the primers purchased from Russia are used for ammo production here in the US.
Much of the ammo shortages here are attributed to the lack of primers and the lack of US production of primers.
What does this mean for us in the future? I can tell you that the cost of bulk purchased primers last year was roughly 2.2 cents with an average cost of 5.5 cents a few months ago. We have seen some companies pay more than 10 cents a primer in the last 30 days due to supplies being held at port and companies are unable to produce.
We are going to see the cost of ammo increase substantially in the very near future.
Not to mention the rise on cost for copper, brass and all things used in the production.
Great Ammo Shortage: Getting Worse Thanks to Biden’s Russia Sanctions?