Ammo Prices Set to Increase “Substantially,” Says Major Manufacturer

Posted by Jack Collins on Dec 19, 2023

If you were already lamenting the spike in ammo prices over the last two months, we’ve got some bad news for you - it’s about to get worse. According to a major ammunition manufacturer, ammo prices are set to soar even higher beginning next month, with some cartridges’ prices ballooning between 15% and 20%.

What’s Going On with Ammo Prices?

Unless you’ve been living under a rock, chances are you’ve noticed ammo prices have increased across the board since November. Just look at how the price of the most popular rifle cartridge, .223 has shot up.

Prices of .223 Remington since 2020 (data from AmmoPricesNow.com)

That problem is only set to get worse. Earlier this month, Vista Outdoors, a Minnesota-based company that’s one of the three biggest ammo manufacturers in the US, released a statement claiming that they were going to increase ammo prices due to “an anticipated global shortage in gunpowder.”

Here’s how much prices will increase on January 1:

Specific brands affected include Remington, CCI, Federal, Speer, and SEVI-Shot. This is a huge bummer for me personally, since I’m a big fan of Federal ammo.

Vista isn’t the only one that’s raising their prices, either. Precision Made Cartridges (PMC) is expected to increase its prices by up to 20%.

It’s also important to note that this is just the markup that ammo dealers will be seeing. The end-consumer is likely to see prices rise even more.

Why is this Happening?

The problem, according to Vista Outdoors, isn’t a bottleneck in manufacturing capabilities. Instead, the current increase in ammo prices is the result of a widespread shortage of gunpowder.

Information that we’ve received from other sources corroborates this information. St. Mark’s Powder, a subsidiary of General Dynamics and one of the biggest powder producers in the world, has seen so much demand that they’re canceling orders for 2024.

That’s really bad news, because it means that companies won’t be able to just ramp up production to meet demand. Even though companies like Palmetto State Armory are building their own ammo manufacturing plants, they won’t have the raw materials to actually assemble cartridges.

What’s causing this gunpowder shortage? It’s not just new gun owners. Two major conflicts – the ones in Ukraine and Israel – have eaten up small arms ammo at an alarming rate. In September, NATO members met in Paris and agreed to buy more than 2.5 billion euros in ammo by the end of the year (AKA now).

Here’s some even worse news: I’m fairly convinced that things are going to get worse before they get better. Ethnic violence in the former Yugoslavia is ramping up into what may become a second Kosovo war. If that happens, it’s only going to exacerbate the global shortage of small arms ammo.

Final Thoughts

So, how exactly can you react to this situation? This isn’t the answer you’re going to want to hear, but you should stockpile as much rifle ammo as you can ASAP (like 223, 7.62x39, or 308). Sit on this ammo, because it’s only going to get more expensive. Save it for hunting trips, competitions, and other special occasions.

Don’t use these cartridges for training. Instead, now is the time to get into cheaper cartridges. The obvious answer here is to get into shooting .22 LR. But you can also get creative and start putting a Pistol Caliber Carbine through its paces. I, personally, will be looking into picking up an AK or AR variant chambered in 9mm (like PSA’s AK-V).

One thought that’s more troubling than a simple increase in ammo prices is the implications behind them. These global conflicts appear to be getting larger. If you ask me, this is the single biggest red flag that a global conflict may be on the horizon.

Hopefully these conflicts end soon. Stay safe and good luck out there.

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