13 Nov 25. SWEBAL to supply TNT for Scandinavian X drones. Swedish-made TNT to support next-generation Scandinavian X drones built for NATO and Ukrainian markets. Explosives manufacturer Sweden Ballistics (SWEBAL) has signed a letter of intent (LoI) to supply domestically produced trinitrotoluene(TNT) to a Swedish-Ukrainian joint venture (JV), Scandinavian X, for use in upcoming drone systems. The LoI aims to reinforce defence supply chains across Europe. SWEBAL is set to commence TNT deliveries to Scandinavian X in 2028, supplying both NATO markets and Ukraine.
SWEBAL CEO and co-founder Joakim Sjöblomsaid: “We are proud to contribute to re-establishing Swedish production of strategic explosives. Our goal is to deliver the highest quality using modern technology, thereby enabling the systems and equipment that an effective defence needs.”
Scandinavian X was formed recently through a partnership involving Front Ventures, Skygaard Defense Solutions, and Hede Capital. The JV was formally announced on 23 October 2025 by Front Ventures, confirming collaboration with its partners to establish the new company. Scandinavian X plans to manufacture drones in Sweden based on technology from Ukrainian manufacturer Vluchnyk. This initiative will result in the first Swedish-Ukrainian drone factory in the Nordic region using NATO-standard components. Currently, construction of SWEBAL’s manufacturing facility is underway in Nora, Sweden with completion scheduled for 2028. Once operational, the factory will become one of the few sites in Europe to produce TNT, addressing a significant supply chain gap for both military and civilian applications. Until SWEBAL’s production begins, Scandinavian X will continue sourcing TNT from a Ukrainian supplier.
Front Ventures CEO and Scandinavian X board chairman Jonas Malmgren said: “This collaboration is an important step in strengthening both Swedish and European capacity in defence production. Domestic production of TNT means greater independence, shorter supply chains and more secure access for our future customers in NATO and Ukraine.”
The partnership between SWEBAL and Scandinavian X follows an earlier announcement by the former regarding a €3m ($3.5m) strategic investment round. SWEBAL secured the investment from former Sweden Army Chief Major General (ret) Karl Engelbrektson, and Thomas von Koch, the founding member and former CEO of EQT, a private equity firm. Recently, Finland, Sweden, Norway and Denmark announced collaboration for the joint procurement of uncrewed aircraft systems and related technologies. (Source: airforce-technology.com)
10 Nov 25. Avio and Lockheed Martin have signed a non-binding term sheet to support the establishment of Avio USA’s state-of-the-art solid rocket motor (SRM) facility in the United States, which expects to serve Lockheed Martin and other customers as a vertically integrated merchant supplier. Lockheed Martin will have preferred access to a portion of the Avio USA plant production capacity to meet future demand for its products while enhancing supply chain resilience to the US industrial base for both tactical and strategic size SRMs. The parties intend to negotiate a Strategic Cooperation Agreement in the near future to further align with the common goal of increasing the surety of supply for cost effective propulsion systems.
“Collaboration with Avio strengthens Lockheed Martin’s commitment to a diverse, resilient supply chain for solid rocket motors—key to our 21st Century Security® vision. This term sheet positions us to increase production of essential capabilities and deliver them to our customers faster as global demand grows,” said Tim Cahill, president of Lockheed Martin Missiles and Fire Control.
“This term sheet marks a significant milestone in Avio’s long-term growth strategy and our commitment to strengthening international relationships in the aerospace and defense sector. The establishment of Avio USA’s SRM facility will allow us to bring our proven solid propulsion expertise to the United States, contributing to the innovation and development of a critical industrial supply chain. We are very pleased to contribute to Lockheed Martin’s ongoing success and look forward to supporting their future initiatives,” said Giulio Ranzo, CEO of Avio.
VADM (Ret) James Syring, CEO of Avio USA, stated: “The commercial relationship with Lockheed Martin, set forth in this term sheet, marks a pivotal step for the future of Avio USA, solidifying our status as a trusted partner and merchant supplier for both tactical and strategic size solid rocket motors in the U.S. Through this collaboration, we expect to deliver cutting-edge solid propulsion systems, enhancing the security and resilience of the American defense supply chain and strengthening the strategic bond between Avio and Lockheed Martin for years to come.”
Avio’s planned investments in fully integrated capabilities and specialized know-how are designed to promptly address customer needs, building on the company’s extensive heritage in solid rocket motor technology. This initiative will strengthen the U.S. solid propulsion industrial base, positioning Avio USA as a key contributor to the defense supply chain. Avio is a leading international group engaged in the manufacturing and development of space launchers and solid, liquid and cryogenic propulsion systems. The experience and know-how built up over more than 50 years puts Avio at the cutting-edge of the space launcher sector and defense program. Avio is present in Italy, France, United States and French Guyana, employing more than 1500 highly qualified personnel. Avio is the prime contractor for the Vega program and a sub-contractor for the Ariane program, as well as a leading solid rocket motor subcontractor for the design and manufacturing of major European tactical missile programs.
Lockheed Martin is a global defense technology company driving innovation and advancing scientific discovery. Our all-domain mission solutions and 21st Century Security® vision accelerate the delivery of transformative technologies to ensure those we serve always stay ahead of ready. More information at Lockheedmartin.com. (Source: BUSINESS WIRE)
10 Nov 25. Avio and Raytheon, an RTX (NYSE: RTX) business, have signed a Memorandum of Understanding (MoU) to help Avio establish a state-of-the-art solid rocket motor (SRM) facility in the United States, serving Raytheon and other customers as a vertically integrated merchant supplier. Raytheon will have preferred access to a share of the Avio plant production capacity to meet future demand. This strategic partnership marks another significant milestone in the collaboration between the two companies, building on a contract signed in July 2024 for preliminary engineering work on the Mk104 rocket motor and a recent purchase order to fund through Critical Design Review and procurement of long lead material for qualification.
“This agreement will help establish an additional supplier of solid rocket motors within the U.S. and demonstrates our commitment to meeting the increasing demands of our customers,” said Bob Butz, Vice President of Operations, Supply Chain and Quality at Raytheon. “By leveraging Avio’s experience and unique capabilities in solid rocket motor propulsion development and manufacturing, we’re strengthening our capacity for critical weapon systems.”
The new Avio facility will be instrumental in meeting the growing demand for advanced SRMs and will contribute to the continued success of both companies in delivering high-quality defense products. Avio and Raytheon are committed to working together to ensure the successful implementation of this initiative and to support the defense needs of the United States and its allies.
“We are proud to be partnered with Raytheon for their future production capacity needs at our new factory facility. We look forward to leveraging the incredible pedigree and experience of our parent company Avio S.p.A. as we build our factory and establish in the U.S. as a true vertically integrated merchant supplier,” said VADM Ret. Jim Syring, CEO of Avio USA.
Avio is a leading international group engaged in the manufacturing and development of space launchers and solid, liquid and cryogenic propulsion systems. The experience and know-how built up over more than 50 years puts Avio at the cutting-edge of the space launcher sector and defense program. Avio is present in Italy, France, United States and French Guyana, employing more than 1,500 highly qualified personnel. Avio is the prime contractor for the Vega program and a sub-contractor for the Ariane program, as well as a leading solid rocket motor subcontractor for the design and manufacturing of major European tactical missile programs. Avio USA Inc. is a subsidiary of Avio S.p.A. with its headquarters in Arlington, Virginia. Avio USA is structured to operate in compliance with US security and export-control regulations and is governed by a US-led board of directors. The CEO of Avio USA is retired US Navy Vice Admiral James Syring, former Director of the US Missile Defense Agency. (Source: BUSINESS WIRE)