Defense Primer: Conventional Ammunition Production Industrial Base

Defense Primer: Conventional Ammunition Production Industrial Base

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November 18, 2022
Defense Primer: Conventional Ammunition Production
Industrial Base
The conventional ammunition production industrial base is
GOCO Ammunition Plants
a collective term for the Department of Defense (DOD)
The Iowa Army Ammunition Plant (AAP), Lake City AAP,
industrial facilities that produce conventional ammunition,
Radford AAP, Holston AAP, and Scranton AAP are the
propellants, and explosives for use by the U.S. military.
Army’s five GOCO ammunition plants. Two major
Such munitions include small (.50 caliber and below),
contractual arrangements govern each plant—a facility
medium (20 mm to 40 mm), and large (50 mm to 155 mm)
operation and maintenance contract that sets the terms of
caliber ammunition; propellants for direct fire, indirect fire,
contractor operation, and a production contract that sets the
and rocket applications; and a variety of explosives. This
terms of DOD ammunition sourcing. In addition to the
manufacturing capability primarily resides in five
contractor workforce, each plant has a small staff of
government-owned, contractor-operated (GOCO) U.S.
military personnel and government civilians providing
Army Ammunition Plants (AAPs), with the Army
management oversight.
providing management and oversight on behalf of DOD.
Iowa AAP
Background and Overview
Established in 1940, Iowa AAP consists of about 640
The modern ammunition production base dates to World
buildings on approximately 19,000 acres in Middletown,
War I, when the War Industries Board sponsored a rapid
IA. The plant primarily produces large and medium caliber
buildup of government and contractor production facilities
ammunition, mortars, mines, missile warheads, and other
to meet wartime ammunition needs. A similar industrial
explosives, and has been operated by American Ordnance
mobilization occurred during World War II, leaving the
LLC since 2008. In 2022, on-site staff consisted of one
United States with 86 ammunition plants by 1945. During
military officer, 21 government civilians, and
the Cold War, this number dwindled as stockpiles grew and
approximately 980 contractors.
production processes became more efficient. In 1975, DOD
also consolidated management of ammunition production
Lake City AAP
by designating the Secretary of the Army as the Single
Established in 1940, Lake City AAP consists of about 330
Manager for Conventional Ammunition (SMCA).
buildings on approximately 3,900 acres in Independence,
MO. The plant primarily produces small caliber
Today, the five GOCO plants supply the military with most
ammunition, cartridges, and related components (e.g.,
of its conventional ammunition, propellants, and
percussion, electric primers), and has been operated by Olin
explosives. In addition, other sites within the broader Army
Winchester since 2019. In 2022, on-site staff consisted of 1
organic industrial base perform certain ammunition-related
military officer, 33 government civilians, and
industrial functions (see Figure 1).
approximately 1,890 contractors.
Figure 1. Ammunition Production Base
Radford AAP
Conventional Ammunition Industrial Facilities
Established in 1941, Radford AAP consists of about 1,040
buildings on approximately 6,800 acres, split into two sites:
the Radford manufacturing unit (4,000 acres) near Radford,
VA, and the New River storage unit (2,800 acres) near
Dublin, VA. The plant primarily produces propellants and
explosive munitions, and has been operated by BAE
Systems Ordnance Systems, Inc. since 2011. In 2022, on-
site staff consisted of 1 military officer, 23 government
civilians, and approximately 1,000 contractors.
Holston AAP
Established in 1942, Holston AAP consists of about 500
buildings on approximately 5,900 acres in Kingsport, TN.
The plant primarily develops, tests, and manufactures
various high explosive composite mixtures, and has been
operated by BAE Systems Ordnance Systems since 1998.

Source: CRS Analysis of Joint Munitions Command data.
In 2022, on-site staff consisted of 1 military officer, 21
government civilians, and approximately 980 contractors.
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Defense Primer: Conventional Ammunition Production Industrial Base
Scranton AAP
Office Armaments and Ammunition (JPEO A&A) manages
Established in 1953, Scranton AAP consists of nine
funding and sets broad acquisition strategies. Two
buildings on 15 acres in Scranton, PA. The plant primarily
subordinate commands of Army Materiel Command
produces non-explosive projectile components for artillery
(AMC) handle day-to-day execution of the SMCA mission:
and mortars, and has been operated by General Dynamics
Joint Munitions Command (JMC) oversees the GOCO
Ordnance and Tactical Systems since 2006. In 2022, on-site
plants and other ammunition base sites, while Army
staff consisted of 8 government civilians and approximately
Contracting Command (ACC) handles contract
285 contractors.
solicitations, awards, and administration.
Other Army Ammunition Facilities
In addition, Army Futures Command (AFC) conducts
In addition to the five GOCO ammunition plants, the Army
research and development and provides engineering support
operates industrial sites to support the development,
for ammunition production through its Combat Capabilities
manufacture, modification, storage, distribution, and
Development Command Armaments Center.
demilitarization of ammunition. These include:
Considerations for Congress
 Letterkenny Munitions Center in Chambersburg, PA
Facilities and equipment modernization. The age and
(ammunition distribution and demilitarization, guided
condition of ammunition production facilities, many of
munitions maintenance).
which were built during or before World War II, has led to

DOD and congressional concern over associated production
Anniston Munitions Center in Anniston, AL
and safety issues. To modernize these and other organic
(ammunition storage, renovation, and demilitarization).
industrial base (OIB) sites, the Army has developed a three-
 Pine Bluff Arsenal in Pine Bluff, AR (specialized
phase plan to invest $16 billion into OIB modernization
ammunition production, including illuminating, infrared,
from FY2024 through FY2038. The House Armed Services
phosphorus, and smoke munitions).
Committee report for the House-passed FY2023 NDAA

(H.Rept. 117-397) expressed support for this plan, and
Rock Island Arsenal in Rock Island, IL (headquarters
Congress may review Army prioritization of investments,
of Joint Munitions Command; cartridge case production
oversee implementation, and consider future appropriations.
at the Quad City Cartridge Case Facility).
 Crane Army Ammunition Activity in Crane, IN
Supply chain security. Certain elements of ammunition
(ammunition production, storage, distribution,
production use raw materials originating from outside the
modification, and demilitarization).
United States, creating potential supply issues. As an

example, the current lack of a domestic source for
McAlester Army Ammunition Plant in McAlester,
antimony—used to harden lead alloys for bullets—has
OK (ammunition storage and maintenance).
prompted congressional concern (particularly as China and
 Blue Grass Army Depot in Richmond, KY
Russia produce over 75% of global supply). Congress may
(ammunition storage, renovation, distribution, and
review relevant supply chain risks and consider directing
demilitarization).
DOD to stockpile materials of concern and incentivize
domestic production of critical materials.
 Tooele Army Depot in Tooele, UT (ammunition
storage, maintenance, distribution, and demilitarization;
Mitigating potential ammunition shortfalls. In response
production of Ammunition Peculiar Equipment).
to Russia’s 2022 war in Ukraine, the United States has
 Hawthorne Army Depot in Hawthorne, NV
provided the Ukrainian military with significant amounts of
(ammunition storage, maintenance, and
ammunition from its domestic reserves. Congress
demilitarization).
appropriated $540 million to increase ammunition plant
capacity in support of security assistance to Ukraine in
Resourcing, Management, and Oversight
September 2022, and may continue investments to meet
Congress funds Army, Air Force, Navy, and Marine Corps
sustained increases in demand. Congress may also direct
ammunition procurement activities through the
DOD to continue identifying ammunition shortfalls,
Procurement of Ammunition account within the annual
readiness impacts, and mitigation strategies.
National Defense Authorization Act (NDAA) and defense
appropriations legislation. In FY2022, Congress
Army management practices. A 2022 Government
appropriated approximately $3.8 billion for ammunition
Accountability Office (GAO) report found that complex
procurement, including $588 million for investments in
organizational relationships and outdated policy documents
industrial facilities.
“can hinder effective coordination [and] lead to poor or
delayed decision-making” among the multiple Army
Multiple Army organizations provide management and
organizations responsible for the ammunition production
oversight of the ammunition production base. The Secretary
base. Congress may consider whether or not to direct the
of the Army (SECARMY) is responsible for the DOD-wide
Army to revise its management framework to establish
SMCA mission, which encompasses 15 broad ammunition-
clearer roles and responsibilities for ASA (ALT), JPEO
related functions (detailed in DOD Instruction 5160.68).
A&A, JMC, ACC, and AFC.
SECARMY has delegated SMCA policymaking and
oversight responsibilities to the Assistant Secretary of the
Luke A. Nicastro, Analyst in U.S. Defense Infrastructure
Army for Acquisition, Logistics, and Technology
Policy
(ASA(ALT)); within ASA(ALT), Joint Program Executive
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Defense Primer: Conventional Ammunition Production Industrial Base

IF12251

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