5.56 NATO Ammo Prices Rise, Inventories Dwindle

by
posted on November 2, 2023
** When you buy products through the links on our site, we may earn a commission that supports NRA's mission to protect, preserve and defend the Second Amendment. **
Trend Run On 556

Inventories vanished and prices rose on 5.56 NATO cartridges after a social media post went viral this month, claiming 30 percent of the civilian supply was about to vanish. The widely shared reports cite an anonymous tip that the administration is suspending Winchester Ammo’s ability to commercially offer ammunition produced at the Lake City Army Ammunition Plant (LCAAP). An Oct. 30 statement from the Lake City facility clarified that, "Joint Munitions Command has not changed its policy regarding commercial production at Lake City. Lake City has not cancelled commercial contracts."

Winchester Ammunition took over management of LCAAP in 2020 and, as part of the agreement, is required to maintain a high production rate in the interest of national defense. Those cartridges coming out of the plant in volumes higher than required by the U.S. military, and the excess is then made commercially available.

Identical stories caused a similar shortage in June 2022. NRA-ILA broke that news, through reliable sources, noting the Obama administration’s previous attempt to stem the commercial availability of the cartridges by “ … relabeling them ‘armor piercing ammunition.’” The Biden administration’s 2022 effort ended after intervention by a coalition of 50 members of the House or Representatives.

Internal politics is not the only possible factor for this year’s run, though. As of June 2023, the United States shipped 300 million small arms cartridges to Ukraine. LCAAP likely produced the majority, if not entirety, of that supply. The savage attack on Israel and the subsequent fighting furthers the strain.

Estimates of production at LCAAP’s sprawling 3,935-acre, 458-building Missouri complex vary. It runs at or near full capacity, regardless of demand, to maintain readiness and retain skilled staff, which explains Winchester’s ability to offer excess commercially. The exact number of small-arms cartridges it produces is likely a closely guarded military secret, although in May 2023, the Kansas City Business Journal reported the figure at 1.6 billion annually. That, however, includes 9 mm NATO and .50 BMG, not just 5.56 NATO.

It’s not enough to sustain the U.S. military during a conflict, however, according to a Government Accountability Office (GAO) report issued in July 2005 [PDF]. In fiscal year 2005, after our troops were engaged in Iraq and Afghanistan, our armed forces ran through 1.8 billion rounds—200 million more than LCAAP can produce annually.

Any reduction or halt in commercial availability could be an effort to bolster strategic stockpiles at this time of heightened tension with major countries, including China and Russia, along with chronic threats from Iraq and North Korea.

The ammo shortage’s timing, however, may point to another cause. Hamas attacked Israel on Oct. 7 and the violence, protests and dangerous rhetoric quickly spread across the globe. The earliest Internet post on LCAAP allegedly suspending 5.56 NATO commercial availability we found was four days later. The Reddit poster didn’t include a link or reference. With self-defense being the No. 1 reason for American gun ownership, there’s no doubt thousands bolstered their ammunition supply after witnessing the violence on nightly TV, causing backorders at the retail level.

The U.S. Army’s adoption of the 6.8 mm cartridge effect future supply, but likely has no impact today. The plant at LCAAP won’t begin production for at least two years with SIG Sauer serving as a second-source provider. In the meantime, 5.56 NATO is the primary rifle cartridge coming out of the Missouri facility.

Latest

001 NAAMBB Cover 01
001 NAAMBB Cover 01

Truly American Apparel: NAA's Magnum Mini Belt Buckles

In 2026, folks are celebrating all things American. And is there anything more American than a gun belt buckle?

CVA Recalls All Paramount Muzzleloading Rifles

CVA has issued a safety recall notice for all CVA Paramount muzzleloading rifles, including Paramount, Paramount HTR, Paramount Pro, and Paramount Pro V2. The bulletin pertains to all production years of these models.

I Have This Old Gun: Colt Detective Special

One of the iconic revolvers of the early 20th century is Colt's compact Detective Special, which became popular on the commercial market and was featured widely in film noir from the 1930s until the 1950s. But the road to the Detective Special wasn't the typical route for a new firearm.

The Real Deal: Mauser's M98 Das Original

In a world of modularity and strict cost-cutting, fine wood and machined steel firearms like the Mauser 98 are disappearing. The Mauser company is making sure the design lives on with the M98 Das Original.

’Merica! | America 250th Products from the Firearm Industry

From guns to knives to storage and beyond, show how your heart beats true for the red, white and blue as we celebrate 250 years of independence, liberty and patriotism with this assortment of commemorative products.

I Have This Old Gun: Witness to the Revolution

It is likely this Long Land Pattern Brown Bess was surrendered by British troops at Saratoga, then used to arm Americans in their fight for liberty before subsequently falling into private hands. Today, it remains as one of a scant few British muskets with a direct tie to the events of the American Revolution.

Interests



Get the best of American Rifleman delivered to your inbox.