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posted ago by NeoTokyo ago by NeoTokyo +15 / -0

Usually when a commodity is in short supply or is a hot product we see both domestic and international entrepreneurs racing to flood the market with their products to profit off of the demand. This was the case with masks, hand sanitizer, cleaning products, etc in recent months.

But how come when it comes to ammunition it’s been over a year and we’re still dealing with a shortage.

Are there laws in place that prevent people from entering this industry?

Comments (10)
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havemydata 6 points ago +6 / -0

Tooling up to make ammunition at competitive prices, even inflated ones, is prohibitively expensive. The US Government actually leases a lot of the land and tooling to manufacturers to operate. Lake City is the big one people know.

Not only that but the current "Administration" is attacking 2A hard, and it'd be kind of foolish to invest a lot of start up capital with the future uncertain.

There is also some cartel like activity going on. They could ramp up production to meet demand, but have repeatedly said they won't do it. This article is old, but still relevant. https://bearingarms.com/camedwards/2020/08/18/why-gun-ammo-makers-production-n38709

I think the big legal hurdle in ammo sales is importation of ammo from overseas. I'm surprised low quality Russian stuff isn't more available.

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Jmradioman 4 points ago +4 / -0

This guy knows, also price of meals, lead and copper, all at competitive prices, plus, unlike other industries, your product has to work 99.99999% of the time. What i mean is you can't half ass anything or you could hurt or kill someone.

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NeoTokyo [S] 3 points ago +3 / -0

What’s the deal with imports? I too have wondered why we don’t have more foreign made ammunition being sold here.

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gunteh 3 points ago +3 / -0

Red tape most likely.

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jubyeonin 3 points ago +3 / -0

Federal regulations. You need to be licensed to make and licensed to distribute. They can and will catch you on these things.

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NeoTokyo [S] 3 points ago +3 / -0

Is there a specific reason why entrepreneurs can’t get these licenses? Does the government limit how many are allowed to exist? Or what’s the deal?

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jubyeonin 4 points ago +4 / -0

People can, but the people who do would need to be squeaky clean, know manufacturing processes for metal work, including self-contained explosive powder in the rounds, have material suppliers, set up a proper business with proper zoning, and more. If you mess up on literally anything, you're done.

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Dale_Gribble 3 points ago +3 / -0

I actually looked into making my own ammo. I couldn't afford to make it and most all the at home ammo making machines went up in price.

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gunteh 3 points ago +3 / -0

I would have expected some reloaders to be hitting the market with limited quantities to alleviate demand, but everyone seems to be in hoarding mentality. Not even toilet paper nor hand sanitizer was immune to crazy prices when everyone was hoarding, and I’m sure it plays a big part into the ammo prices.

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Removmudrace 2 points ago +2 / -0

If there wasn’t a bottleneck on primers, possibly, but then again, (((litigious society))).