NORA — Sweden Ballistics, a Swedish defence manufacturing startup, secured €30 million in equity funding in 2024 to construct a new TNT production facility in Nora, Sweden. The project marks the first new TNT production plant to be established in Europe since the end of the Cold War, highlighting the urgent need for increased ammunition production amidst rising geopolitical tensions involving Ukraine and Iran.
The 2024 funding round received backing from prominent business figures, including former Swedish chief of army Major General Karl Engelbrektson and Pär Svärdson, who founded Apotea and Adlibris. Thomas von Koch, a founding member and former chief executive of EQT, also participated in the financing. Their involvement underscores the critical necessity for European nations to bolster domestic defence capabilities following recent international conflicts.
European ammunition manufacturers currently face severe supply shortages for energetic materials as existing suppliers struggle to meet demand. Nitro-Chem in Poland operates as one of the few major producers aligned with NATO, but much of its 10,000-tonne annual capacity remains committed to long-term contracts. This shortage forces many European manufacturers to rely heavily on foreign imports, creating vulnerabilities within regional supply chains.
Founded in 2024 by Joakim Sjöblom and Carl Duforce, Swebal aims to produce over 4,000 tonnes of TNT annually once operations commence in 2028. The facility is designed to operate continuously while utilizing materials and equipment sourced exclusively within Europe to reduce dependency on foreign suppliers. Joakim Sjöblom said the 4,000 metric tonnes will help close the supply gap for European defence.
The establishment of the Nora-based facility represents a significant step toward mitigating risks associated with current supply chains and ensuring long-term military preparedness across Europe. Sweden Ballistics intends for the plant to operate continuously starting in 2028 to support regional self-reliance. The company did not disclose the projected timeline for breaking ground on the Swedish site.
