Poland Invests $663M Expand Domestic Ammunition Production

Poland has announced a major injection of PLN 2.4 billion ($663 million) into its domestic arms industry, focusing on ammunition production to boost national security and industrial sovereignty.

Deputy Prime Minister Władysław Kosiniak-Kamysz unveiled the funding during a press conference at the Polish Armaments Group (PGZ) headquarters in Warsaw, emphasizing the importance of self-reliance in defense manufacturing.

The investment comes from the Capital Investment Fund, managed by the Ministry of State Assets, and will support the expansion of four PGZ-affiliated ammunition companies. The plan includes building three new ammunition factories, increasing production infrastructure and capacity—particularly for 155mm artillery shells, which are currently in high demand.

The largest share of the funding will go to Zakłady Metalowe "DEZAMET" S.A., which will receive PLN 1.358 billion ($375 million) to expand its large-caliber 155mm ammunition production. MESKO S.A. will receive PLN 887.2 million ($245 million) to increase shell output. Zakłady Chemiczne "Nitro-Chem" S.A. will be granted PLN 113.3 million ($31 million) for loading line upgrades, and Zakłady Produkcji Specjalnej "Gamrat" sp. z o.o. will receive PLN 66.17 million ($18 million) to build facilities for gas generator production.

Deputy Minister Paweł Bejda also attended the conference. Defense Minister Władysław Kosiniak-Kamysz noted that Poland now produces 1 million units of small-caliber ammunition daily, totaling roughly 250 million annually—a fivefold increase from previous levels.

The move follows the implementation of the Act on Financing Activities Aimed at Increasing Ammunition Production Capacity, which took effect in November 2024. The law enabled the Capital Investment Fund to receive PLN 3 billion ($830 million) in total, including PLN 2 billion ($553 million) from the Ministry of National Defense budget.