– The membership has the potential to trigger billion-dollar investments to increase production capacity in the Norwegian defense industry, says Defense Minister Bjørn Arild Gram (Sp).
The quota is NOK 190 million. In addition, the government is setting aside up to NOK 500 million that can be given in support to companies that apply for support through ASAP (Act in Support of Ammunition Production), and that want to increase their production capacity in Norway.
Nammo increases production
This also applies to Nammo, which has recently signaled that it wants to expand its production both in Norway and in the other countries in which it operates.
– We have placed several large contracts with Nammo in the past year, and we have advanced payments so that the pace of production can be increased more quickly, says Gram.
– Nevertheless, the donations to Ukraine eat away at the emergency stocks in the West, and we must be prepared to stand by this for a long time. We must therefore increase the volume and pace throughout Europe, if we are to succeed.
Result in February
ASAP has a fund of 500 million euros. Norway pays approximately NOK 190 million in quota for Norwegian industry to be able to apply for funds.
European defense companies that want to expand their capacity can apply to the fund to have up to 45 per cent of the investment costs covered. The application deadline in ASAP is mid-December, and the results are expected in February.
– This means that the Norwegian defense industry will be able to increase production more quickly if the application were to be approved in ASAP. This is good news for the industry, and it is good news for our preparedness, says the Minister of Defence.
Opened by the Crown Prince
Gram comes with the news on the same day that Crown Prince Haakon opens the defense industry conference Norwegian – German Business Summit – a strong partnership within the defense industry” in Munich.
The theme of the conference is Norwegian-German defense materiel and industrial cooperation and how this contributes to strengthening the defense capabilities of NATO, Germany and Norway.
– Germany is our most important European partner for cooperation on defense material and a major and important ally in NATO, says the defense minister.
In the course of two years, Norway has entered into two contracts with a framework of nearly NOK 60 billion to acquire new tanks and submarines.
– Norway and Germany will also develop the next generation of long-range precision weapons together, says Gram.
2023-11-07 06:07:59
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