SHOT Show MKS Supply, Barnaul (Russian) Ammo Imports

MKS range position with Barnaul Ammunition Shot Show 2022

U.S.A.-(AmmoLand.com)-– At the Industry Day at the Range, Shot Show 2022, I was able to talk with Charles Brown, President of MKS Supply. Their position on the firing line was on the West end of the range positions.

There were several cases of Barnaul ammunition on display. As Russian ammunition has been sanctioned by the Biden administration, Mr. Brown was asked about the effect on his ability to supply ammunition to the American market.

The company is required to submit Form 6’s to import ammunition. The forms are submitted long in advance. There is a significant pipeline of ammunition continually being imported into the United States.

The Biden administration’s sanctions on the importation of Russian ammunition did not revoke any of the Form 6 applications that had already been approved. They became effective on September 7, 2021. They will continue in effect for 12 months, to be re-evaluated in late August or early September 2022, which will be shortly before the mid-term elections in November of 2022.

The sanctions stopped approval of the Form 6 applications which were not approved when the Biden sanctions were put in place.

Approved Form 6 applications can be used for two years from the date of approval. Thus, from the date of the Biden administration sanctions, imports will continue for about two years.

Charles Brown said the sanctions applied both to assembled ammunition and to components. He said a major effect on the company was to stop progress on a series of new calibers the company has been working on to the market in the United States.

He said because of the way the sanctions are worded, components cannot be simply shipped to a country outside of Russia and then imported from that country instead of from Russia.

What happens is a severe break in the supply chain. No more Form 6 applications are approved. The major effect of the break-in Form 6 approvals will not be seen by consumers for about a year and a half, as orders continue to be filled from imports approved on Form 6 applications before the sanctions were put in place.

Because the United States is the major private market for ammunition, suppliers cannot easily shift market share between producers.

The market in ammunition is not as fluid as in oil, or coal, or rice or wheat. There are many major markets for those commodities. When China banned Australian exports of coal and wine, Australian producers were able to shift to other markets because of worldwide demand. Eventually, China realized they were hurting themselves more than Australia.

If there were a major market for ammunition outside of the United States, another market would buy the Russian ammunition, and the USA market would be able to purchase ammunition from other countries which would normally go to that market.

There isn’t enough of a market in the rest of the world for legal, private ammunition outside of the United States. The United States is home to about half of all private firearms on the planet, as estimated as of 2017. The US private stock has increased about 12-14% since then. Almost all of the United States private arms are owned legally, allowing significant ease of ammunition use for training, target shooting, hunting, and informal recreation.

According to the Small Arms Survey, most of the rest of the ownership of private arms in the rest of the world is illegal, severely reducing the opportunity for legal use and supply of Ammunition.

As an informed guess, the United States Market probably consumes over 80% of the legal commercial ammunition in the world.

Expect Russian ammunition supplies to dry up. But not just yet. More supplies will continue to come on the market for almost two years.


About Dean Weingarten:

Dean Weingarten has been a peace officer, a military officer, was on the University of Wisconsin Pistol Team for four years, and was first certified to teach firearms safety in 1973. He taught the Arizona concealed carry course for fifteen years until the goal of Constitutional Carry was attained. He has degrees in meteorology and mining engineering, and retired from the Department of Defense after a 30 year career in Army Research, Development, Testing, and Evaluation.

Dean Weingarten

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Armorer94

There are other suppliers, such as red army standard who get their ammo from former Warsaw pact countries like Romania and Bulgaria. That supply will be uninterrupted.

Oldman

Obviously. We all know that Biden does not have the mental capacity to understand much. But any 7 year old kid gets the fact that if there is a product in demand and someone, under another name, has it to sell…it will get there anyway…..not too much diversion there, is it?

Wild Bill

I just read an article about how India, recently, bought a bunch of ammunition making factory machinery, from the French, just to make ammunition for the American market.

swmft

they want to get in the exports,europe sends US most of their production but no one there is willing to invest to expand, like us makers they are betting post biden demand will fall and prices too. Make money now and dial back when prices fall dont over spend or your company could be bankrupt in five years

Oldman

There are a lot of countries out there that could/and probably would help us with this. So it would be in their interests to keep us well armed so we can’t go to where the Progressives want us to go. No Republic? We will go the way of Venezuela and even quicker.

Wild Bill

Scary! What ever happens will happen in the big cities first.
Glad I live in rural Texas.

Don

This is just one more anti-gun move by Biden-Harris. Biden’s handlers want to stop all ammunition sales as a back door to gun control.Actions like this is driving the ammo hoarding. I know I just bought a 1,000 round case of 9mm. I paid twice the price as pre-covid. But like others, you pay what you have to pay. Pricing .38 Special is three times the pre-covid price. I can’t shoot anywhere near as good as I could in previous years due to lack of practice.

swmft

you missed the actions taken by obummer, stop primary smelting in us, no lead or copper. all the ore is exported to be refined. epa permit needed to reimport lead and copper so choke point. it is not just finished ammo during shutdowns production ground to a halt as supplies sat, did you see the price spikes in copper, brass and lead at recyclers??? the secondary smelting market is doing all it can but cost to increase production is prohibitive, and doubtful epa would issue a license anyway. and as for your shooting, if you shoot like a city of… Read more »

Wild Bill

So when the Chinese bring war to us, we can not smelt our own brass, copper, or lead.

PMinFl

It seems that the Biden administration sought to punish Russia seeing as they act as if the
“cold war ” era never went away. Now they are stirring up a war? Maybe they want to insure that Russian forces have enough small arms ammunition to keep a WOKE army at bay.