Kongsberg opens missile factory in Norway

New facility at Arsenalet

Kongsberg Defence & Aerospace opened a missile manufacturing plant in Kongsberg, Norway, on 20 June 2024. The facility is inside the Arsenalet industrial park, close to the company's headquarters and about 90 kilometres southwest of Oslo. It will produce Naval Strike Missiles and Joint Strike Missiles. Kongsberg began the construction process in 2021, following a sustained increase in orders. The opening forms part of the company's expansion of missile production capacity.

Norwegian trade and industry minister Cecilie Myrseth officially opened the facility alongside defence ministry state secretary Anne Marie Aanerud and representatives of customer countries. The wider Arsenalet production and assembly site is being expanded to 90,000 square metres to accommodate 1,200 skilled employees. That figure concerns the expanding site rather than a statement of 1,200 newly created positions in the new building alone. Inside the factory, 24 robotic arms will support production, Reuters reported. The opening announcement sets out the facility's place within Arsenalet.

A separate capacity investment program

Kongsberg had announced a NOK640 million capacity expansion program on 15 March 2024. The program covers investment in the new factory and related production infrastructure. Its specified projects include:

• Equipment and machinery to raise output at the new missile plant.
• A new facility to expand production of sensor components.
• Supply-chain investment intended to secure future supplies.

Under that program, Norwegian authorities were to contribute NOK200 million and the European Union €10 million through its Act in Support of Ammunition Production program. The currencies and investment scope are specified in Kongsberg's March investment announcement. Kongsberg Defence & Aerospace president Eirik Lie said the support would help the company increase capacity, shorten lead times and strengthen its supplier network. The program extends beyond the construction of the new building.

Production and possible further expansion

Lie expected the plant to produce several hundred missiles annually but declined to provide a precise output figure or a numerical increase from earlier capacity when speaking to Reuters at the opening. Kongsberg's chief executive Geir Håøy attributed the expansion to strong long-term demand from existing and new customers. The company associated its new facilities with the need for larger production volumes and the growth in its international customer base.

Kongsberg was also considering further production expansion outside Norway. Lie identified the United States and Australia as alternatives in the Reuters interview. Those locations remained options under consideration on 20 June 2024. The Norwegian factory had already reached its opening milestone, following the investment decision in 2021 and the additional capacity program announced in March 2024.