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NATO announces billion-dollar contracts for artillery shells Trade deal with India? I’m sorry, what? Here’s what you need to know about it

NATO’s purchasing office has signed framework contracts with companies from Germany and France for the supply of artillery ammunition worth approximately 1.1 billion euros. The 155-millimeter projectiles can be used in Caesar and self-propelled howitzer 2000 weapon systems.

The NSPA announced this on Tuesday. Both are also used by Ukraine in its defensive war against Russia.

According to the information, the companies that received the contracts are the French company Nexter Munitions (KNDS) and the German company Junghans Microtec. The latter produces fuzes for artillery ammunition in Dunningen in the southern German state of Baden-Württemberg.

According to information from alliance circles, the agreement should allow the purchase of more than 220,000 projectiles. The first deliveries will occur in about 24 months, NSPA Director General Stacy Cummings said.

NATO Secretary General Jens Stoltenberg said at the signing of the contract that projects like these would boost the defense industry and ensure that alliance states had the right ammunition. Since agreeing on a defense production action plan last July, the NSPA has already signed contracts worth around ten billion dollars (9.2 billion euros).

In the latest case, the NSPA said it negotiated the contract at the initiative of three alliance states. With a total of nine Allies using the 2000 and Caesar self-propelled howitzer, the procurement office expects broad use of the framework agreements.

Most recently, in early January, the NSPA announced a contract to purchase up to 1,000 Patriot anti-aircraft missiles. Its value was estimated at 5.5 billion dollars (5.0 billion euros). The order is considered one of NSPA’s largest procurements.

The new contracts are mainly intended to replenish stocks that have become smaller due to arms deliveries to Ukraine. Moreover, the basis for continued support to Ukraine must be created. (sda/dpa)

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Soource :Watson

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