Potential 5.56 & 7.62 NATO Price Fluctuations Coming?

Could the U.S. Army’s shift to a 6.8 mm cartridge for close-combat troops could inadvertently trigger price fluctuations on 5.56 NATO and 7.62 NATO ammunition? Read on:

by
posted on April 21, 2024
** 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. **
Approaching Trend
Image courtesy of author.

The U.S. Army’s shift to a 6.8 mm cartridge for close-combat troops will trigger 5.56 NATO market fluctuations in the next few years. History indicates enthusiasts can expect prices to potentially decline, initially, followed by slow rise to a price plateau. It’s the U.S. Army’s widespread fielding of its Next Generation Squad Weapons System (NGSWS) to combat troops—chambered in that 6.8 mm cartridge—to blame.

It doesn’t take a crystal ball to make that prediction, either. The .30-‘06 Sprg. cartridge provides a roadmap for the approaching trend.

The U.S. military officially adopted the .30-’06 Sprg. in 1906. With improved accuracy and fight-stopping performance downrange, it soon found itself in the hands of our soldiers across the globe with M1 Garands, M1903 Springfield bolt actions and others.

By the late 1950s, the 5.56 NATO and 7.62 NATO cartridges were being methodically phased into frontline service. It wasn’t until the late 1970s that the .30-’06 Sprg. was officially retired. In the meantime, factories churning out the volume required for marksmanship practice, strategic stockpiles and combat shifted production emphasis.

Surplus became readily available on the commercial market and prices for .30-’06 Sprg. ammo dropped dramatically. The March 1986 issue of American Rifleman magazine even proclaimed it was available for “pennies per round” during the 1960s.

That kind of savings is enough to catch the attention of any enthusiast. Inflation, however, enters the equation. Five cents in 1960 converts to roughly a half dollar, according to the U.S. Bureau of Labor Statistics inflation calculator. Today you’re paying nearly a buck a round for inexpensive .30-’06 Sprg.

Today’s situation is slightly different, though. Troops whose duty isn’t primarily combat will still be issued rifles chambered in 5.56 NATO and 7.62 NATO. Those cartridges haven’t quite reached retirement age, which means the entire ammunition surplus won’t swell FFL shelves in an overnight tsunami. Those in uniform using them, however, don’t live-fire practice as often, or require the same strategic stockpile. Excess will potentially be released at a pace that reflects that reduced annual consumption and wartime requirements.

Latest

Dead Air Rxd910ti Suppressor F
Dead Air Rxd910ti Suppressor F

"9 mm Optimized, But 10 mm Capable:" Dead Air's New RXD910Ti Suppressor

The new Dead Air RXD910Ti harnesses the technology of the patented Triskelion baffle system to make for a 9 mm-optimized silencer that is also capable for use with 10 mm pistol cartridges and more.

Revisiting A World War II Marine’s Story

Secretary of War Pete Hegseth, in his speech to 800 assembled generals, admirals and senior enlisted at Quantico, Va., on Sept. 30, 2025, quoted Eugene Sledge from his timeless classic With The Old Breed published in 1981.

Review: Leupold Rendezvous Soft Cases

Looking for something better than a cheap nylon bag, but don’t need it armored for air travel? Leupold has you covered.

Preview: Hiperfire Hipertrain

Hiperfire’s Hipertrain is a cast aluminum housing into which the AR-style trigger system, safety selectors and pistol grip of the user’s choice (none of which are included) can be installed to create a trigger demonstrator/dry-fire trainer

New For 2026: Kimber 2K11 Comp

Kimber increased its 2K11 product line with the addition of two models with single-port compensators.

AR-15 vs. Bullpup Rifles: Which One Is Right For You?

Though bullpup-style rifle designs have become popular elsewhere in the world, they aren't nearly as popular with the American shooting public as the ubiquitous AR-15.

Interests



Get the best of American Rifleman delivered to your inbox.