Particle.news
Download on the App Store

Canada Commits $1.4 Billion to Build Ammunition and Nitrocellulose Plants

The move seeks to secure sovereign supply by reducing reliance on foreign sources, with Canadian requirements served before any NATO exports.

Overview

  • Defense Minister David McGuinty announced funding for IMT Precision in Ingersoll, Ontario, and General Dynamics Ordnance and Tactical Systems–Canada in Repentigny, Quebec.
  • General Dynamics will receive up to $642 million for a 155 mm projectile loading and assembly plant, $355.7 million for a new nitrocellulose facility, and up to $57.9 million for an M231/232 charges line.
  • IMT Precision will receive up to $305.4 million to build a factory for 155 mm shell bodies, targeting full capacity of 144,000 M795 shells per year after ramp‑up.
  • Production targets include nitrocellulose output beginning by 2029 at 3,400–7,800 tonnes annually and projectile processing scaling from 12,744 units in 2028 to 12,000 per month by 2029.
  • The investment is delivered through the Canadian Defence Industry Resilience program under the $6.6‑billion Defence Industrial Strategy, with projected job creation of at least 75 positions initially and up to 400 at full production.