In April 2024, French explosives manufacturer Eurenco announced a €500 million (approximately $540 million) investment to enhance its artillery propellant production capabilities. This initiative aims to restart explosive powder production and significantly boost the output of propellants, particularly for 155mm artillery shells. The investment is expected to double propellant production, with the Bergerac facility projected to produce 1,200 metric tons of explosive powder annually, equating to 500,000 modular propellant charges.
This expansion is part of France’s broader strategy to strengthen its defense industrial base and ensure sovereignty in critical military supplies. The move aligns with efforts to address increased demand for artillery ammunition, partly due to geopolitical tensions and commitments to support allies. Eurenco’s investment, largely self-financed, is conducted in close collaboration with the French Ministry of the Armed Forces and the French Defense Procurement Agency (DGA).
Additionally, the European Commission has awarded the Eurenco Group nearly €76 million in subsidies under the Act in Support of Ammunition Production (ASAP) plan. This funding is intended to further support Eurenco’s capacity expansion efforts in France and Sweden, reinforcing its role as a key defense player in Europe.
These developments underscore a concerted effort by France and the European Union to enhance defense production capabilities, ensuring readiness and self-reliance in the face of evolving security challenges.
