After More Than 40 Years, the U.S. Is Resuming TNT Production
One of the most significant ways large companies deepen their foothold in key countries is through partnerships with local firms, and Elbit has found itself a particularly prestigious partner in the United States. At the same time, France is replacing well-known Israeli companies with Ukrainian ones at trade shows. And, for the first time since the 1980s, the U.S. is resuming TNT production. More on all this and more in Globes' weekly defense industries column. ● The new Israeli interception system that could address explosive drones ● Russia has a new deadly method for launching drones in a strategic artillery tender: Elbit teams up with Anduril
Elbit Systems began cooperating this month with the hottest defense company in the world, Anduril, for the sale of the "Ro'em" cannon. This is part of a strategic tender by the US Army, which seeks to replace the M-109 cannon. Ro'em's American name is "Sigma NG," which can fire all 155 mm shells. Sigma NG is almost identical to the IDF's Ro'em. In the case of the Israeli version, it took Elbit about six years until the first system was recently delivered to the IDF. In general, Sigma NG is mounted on an Oshkosh 10 x 10 truck, while the American variant includes components available from the local market.
Elbit's move reflects similar developments in the United States, both by the company and by other Israeli firms, involving cooperation with local companies in order to gain footholds in strategic tenders. The choice to cooperate with Anduril reflects a nod to innovation. The American company, founded in 2017 and involved, among other things, in the development of autonomous weapons systems, aircraft, missiles and AI systems, continues to break international records in defense tech, after completing a $5 billion funding round in May that values it at $61 billion. By comparison, Anduril's previous funding round, in June last year, valued it at just over $30 billion. The latest round is the largest in the field in 2026.
For the first time since the 1980s, the U.S. is resuming TNT production
For decades, Western countries did not bother to preserve traditional manufacturing capabilities in the defense industries, and now that they want to rebuild production capabilities, this has become an especially expensive investment. The U.S. has not produced TNT since the 1980s, so its bombs, shells and grenades were based on imports. As a result, the US Army decided to invest $404 million in establishing a TNT plant in Kentucky.
TNT is as critical to the Americans as it is important to any country. For example, it is the main explosive material in 155 mm shells, prices of which have surged in the global market as a result of high demand in the Russia-Ukraine war and in the Middle East. In the absence of production capacity, Washington has no control over the supply chain base. On the surface this is a deal based on the American defense industry, in line with the Trump administration's aspirations, but a closer look reveals that the contract is with Repkon USA, a subsidiary of Turkey's Repkon, which deals in traditional industries for the defense, aviation and space sectors. This is an expansion of US ties with the Turkish conglomerate, which has already won a contract to build an artillery shell production plant in Texas.
France replaces Israeli companies with Ukrainian ones
French President Emmanuel Macron has angered the defense industries with his decision, once again, to limit the presence of Israeli companies at the prestigious Eurosatory exhibition, which is due to open in Paris next Monday. He sought to hurt Israel with a ban on opening the national pavilion and a restriction on displaying offensive weapons, but the financial loss to the Defense Ministry is negligible, less than 2 million shekels, and in any case the number of Israeli companies registered for the exhibition has fallen from about 74 companies in 2024 to fewer than 40 this year.
However, there is no vacuum at such an exhibition, as the number of Ukrainian companies set to appear has jumped from just 10 to 80. The companies from Kyiv are also now benefiting from the tag Combat Proven. Moreover, the French place no restrictions on them, and they will display missiles with ranges of about 3,000 kilometers and loitering munitions with a range of about 1,400 kilometers.
Russia's invasion of Ukraine in February 2022 has exacted, and continues to exact, a heavy economic price from Ukraine, but Kyiv has managed to turn it to its advantage. According to data from the Ukrainian government, local defense industry output has reached about $55 billion, 55 times more than before the war. Kyiv says that more than 70% of the country's defense procurement in 2025 was directed to local companies.
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