US Army awards $635m contract for artillery ammunition facility
The US Army has awarded MSM Group North America a $635m contract to design, construct, and inaugurate the Future Artillery Complex (FAC) at the Iowa Army Ammunition Plant.
The agreement is facilitated by the Joint Program Executive Office Armaments & Ammunition – Project Lead Joint Services and the Army Contacting Command – Rock Island.
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The advanced FAC will leverage 21st-century technology to deliver scalable and cost-effective explosive loading capabilities for the US Army.
It will incorporate lean manufacturing techniques alongside fully integrated system control and data acquisition systems, enhancing safety for operators and ensuring consistent quality in the production of 155mm artillery rounds.
The facility’s automation and robotics will enable transitions between products, minimising downtime and allowing operations to maintain economic viability across varying production demands, stated US Army.
With a capacity to load 36,000 155mm artillery rounds per month, the FAC will be capable of handling both current and future munitions with a melt-cast process.
This fixed-price contract with provisions for economic price adjustments represents a key investment in the Organic Industrial Base’s modernisation efforts.
Armaments & Ammunition joint programme executive officer and Picatinny Arsenal commanding general major general John Reim said: “Modernising the industrial base and replacing critical munition stockpiles are high priorities for the Defense Department, projects like the FAC are geared to improve the Army’s ability to scale production between surge and down times while also providing flexible capacity to produce future go-to-war rounds.
“The FAC represents much-needed new technology investments to modernise the Arsenal of Democracy in order to meet the evolving demands of the warfighter in 2025 and beyond.”
The construction of the FAC is slated for completion within 40 months, with full operational status expected by September 2029.
The facility will create approximately 70 jobs in manufacturing, quality assurance, and operational support.
MSM North America chief executive officer Jason Gaines said: “I extend my heartfelt thanks to the CSG team for their invaluable support and expertise, without which MSM North America would not have secured this opportunity. We are excited to collaborate with a top-tier team of American firms under MSM North America’s leadership to deliver this transformative project.”
In April 2025, the US Army opened a new facility dedicated to loading artillery projectiles. When operating at full capacity, this facility is expected to achieve 50% of the total monthly production goal for 155mm shells within the entire US industrial base.
