Potential 5.56 & 7.62 NATO Price Fluctuations Coming?

Could the U.S. Army’s shift to a 6.8 mm cartridge for close-combat troops could inadvertently trigger price fluctuations on 5.56 NATO and 7.62 NATO ammunition? Read on:

by
posted on April 21, 2024
** When you buy products through the links on our site, we may earn a commission that supports NRA's mission to protect, preserve and defend the Second Amendment. **
Approaching Trend
Image courtesy of author.

The U.S. Army’s shift to a 6.8 mm cartridge for close-combat troops will trigger 5.56 NATO market fluctuations in the next few years. History indicates enthusiasts can expect prices to potentially decline, initially, followed by slow rise to a price plateau. It’s the U.S. Army’s widespread fielding of its Next Generation Squad Weapons System (NGSWS) to combat troops—chambered in that 6.8 mm cartridge—to blame.

It doesn’t take a crystal ball to make that prediction, either. The .30-‘06 Sprg. cartridge provides a roadmap for the approaching trend.

The U.S. military officially adopted the .30-’06 Sprg. in 1906. With improved accuracy and fight-stopping performance downrange, it soon found itself in the hands of our soldiers across the globe with M1 Garands, M1903 Springfield bolt actions and others.

By the late 1950s, the 5.56 NATO and 7.62 NATO cartridges were being methodically phased into frontline service. It wasn’t until the late 1970s that the .30-’06 Sprg. was officially retired. In the meantime, factories churning out the volume required for marksmanship practice, strategic stockpiles and combat shifted production emphasis.

Surplus became readily available on the commercial market and prices for .30-’06 Sprg. ammo dropped dramatically. The March 1986 issue of American Rifleman magazine even proclaimed it was available for “pennies per round” during the 1960s.

That kind of savings is enough to catch the attention of any enthusiast. Inflation, however, enters the equation. Five cents in 1960 converts to roughly a half dollar, according to the U.S. Bureau of Labor Statistics inflation calculator. Today you’re paying nearly a buck a round for inexpensive .30-’06 Sprg.

Today’s situation is slightly different, though. Troops whose duty isn’t primarily combat will still be issued rifles chambered in 5.56 NATO and 7.62 NATO. Those cartridges haven’t quite reached retirement age, which means the entire ammunition surplus won’t swell FFL shelves in an overnight tsunami. Those in uniform using them, however, don’t live-fire practice as often, or require the same strategic stockpile. Excess will potentially be released at a pace that reflects that reduced annual consumption and wartime requirements.

Latest

Taurus TX22 Brace 01
Taurus TX22 Brace 01

Stable Fun: The Taurus Brace-Ready TX22

Taurus USA first adopted the ideal of a brace-ready format for a traditional handgun in its GX4 Strike Bravo, and now, the company is extending that concept to its TX22 rimfire handgun.

I Have This Old Gun: The Whitney Navy Revolver

One of the lesser-known revolvers from the Civil War era, the Whitney Navy revolver had several notable features and even inspired a copycat in the Confederacy.

Standing Guard | A Midterm Case for Freedom

Being right isn’t inevitably a winning argument. If it were, the gun-control left would never win again, as all the data shows that arresting and prosecuting criminals, not going after law-abiding citizens’ guns, is what makes violent crime drop.

Resisting the Temptation of "Good Enough" for Firearm Performance

No matter what firearm you're using for whatever purpose, even if it's simply a trip to the range, always resist the temptation to accept “good enough” if there is the possibility of better performance.

Armed Citizens Stop a Lot More Criminals Than Most in the Media Will Admit

Since January 2025, the Crime Prevention Research Center has documented 16 defensive gun uses in which police say armed citizens stopped mass public killings.

Federal & Mossberg Collaborate on Autonomous Airborne Drone Defense

Federal and Mossberg are working with Palladyne AI in the creation of SwarmShot, a kinetic defense system that employs swarms of armed drones to shield troops from unmanned aircraft system threats.

Interests



Get the best of American Rifleman delivered to your inbox.