CSG Selected by the U.S. Army to Modernize Seven Ammunition Plants
Through its U.S. subsidiary MSM North America, CSG has secured a place among the companies selected by the U.S. Army to modernize seven ammunition production sites. The program ceiling, however, applies to all selected contract holders collectively, and each project will be awarded separately through competitive bidding.
Seven U.S. Army Ammunition Plants Within the Scope
The framework contract is part of a U.S. Army program dedicated to the design, construction and commissioning of ammunition plants. These plants are owned by the state and operated by private companies (GOCO model). It takes the form of a multiple-award contract (MATOC), administered by the Army Contracting Command - Rock Island.
Orders may cover the construction of new facilities, the modernization of existing production lines, automation and the commissioning of production capacities. They may also cover the operation and maintenance of industrial infrastructure. The announcement links the program to the fourth pillar of the U.S. national defense strategy, “Supercharge the U.S. Defense Industrial Base.”
Seven sites are concerned: Holston (Tennessee, military explosives), Radford (Virginia, propellants and other energetic materials) and Lake City (Missouri, small-caliber ammunition). They are joined by Iowa (medium- and large-caliber loading and assembly), Scranton (Pennsylvania, metal artillery components), the Quad City Cartridge Case Facility (Illinois, large-caliber cartridge cases) and Milan (Tennessee).
A Ceiling Shared by All Contract Holders, With No Guaranteed Volume
The ceiling of approximately $4.2 billion applies collectively to all selected contractors, and not solely to MSM North America. Projects will be awarded individually in subsequent competitions, depending on the evolving needs of the U.S. Army.
Selection therefore does not guarantee any specific volume of business. It allows the CSG subsidiary to compete for contracts over the next five years.
“Being selected among the contractors for this program is an important milestone in our long-term efforts to become a trusted partner of the U.S. Army,” said Jason Gaines, CEO of MSM North America. He added: “We are well positioned to compete for new projects.”
The Iowa Artillery Site, a $635 Million Reference
In August 2025, MSM North America won a contract worth up to $635 million to design, build and commission the Future Artillery Complex. This complex is located at the Iowa Army Ammunition Plant. The subsidiary is the prime contractor and systems integrator for the project.
Work began in 2026. The plant, whose commissioning is expected in 2029, must be able to load up to 36,000 155 mm artillery shells per month. According to MSM North America, the project is on schedule and on budget, and the same team will be largely mobilized under the new framework contract.
Founded in 2024 and based in St. Petersburg, Florida, MSM North America strengthens CSG's presence in the U.S. ammunition industry. For Jan Marinov, CEO of CSG's Defence Systems division, this selection “demonstrates our ability to deploy these capabilities in the demanding U.S. defense market.”