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

Hillsdale College Shotgun Nsca Championship 1
Hillsdale College Shotgun Nsca Championship 1

Youth Firearm Education, Shooting Leagues On The Rise

Several states have instituted firearm education courses for students in public schools, and several scholastic shooting leagues have posted record attendance numbers in recent years.

Preview: Fix-It Sticks Rifle And Optics Toolkit With All-In-One Torque Driver

An optic coming loose can ruin a hunt or a range session, so having a pocket-size remedy such as the Fix-It Sticks Rifle and Optics Toolkit is a prudent hedge.

Glock Unveils Its GEN6, V-Series Pistols

"Perfection" is now in its sixth generation, as Glock introduces its new GEN6 line of handguns, which incorporates substantial mechanical and ergonomic changes compared to previous factory offerings.

Tisas Introduces PX-9 2.0 Duty Comp, Carry Comp & Tactical Comp Pistols

Many handgunners are seeing the value of muzzle compensators on their handguns, and Turkish gunmaker Tisas is answering the call with three new models: the PX-9 2.0 Duty Comp, Carry Comp and Tactical Comp.

Preview: Federal BYOB .22LR Ammo Bucket

With 1,375 rounds of .22 Long Rifle ammunition, the stackable, reusable Federal BYOB .22 LR Ammo Bucket is sure to keep even the most ardent shooter of rimfire handguns or rifles busy for a while—even if there’s more than one new gun under the tree.

Gun Of The Week: CZ 600+ American

CZ expanded its 600 series of rifles with a particular version tailored to the American market, and this CZ 600+ American model has a few unique features incorporated into the design.

Interests



Get the best of American Rifleman delivered to your inbox.