US awards Turkish firm Repkon USA $435M contract for TNT facility in Kentucky

Repkon USA, a subsidiary of Türkiye-based Repkon, has signed a $435 million contract with the U.S. Army to design, build and operate a new TNT production facility in Graham, Kentucky.

The deal highlights the increasing collaboration between U.S. defense needs and innovative Turkish manufacturing solutions. For the first time since 1908, TNT will be constructed and operated in the U.S. with the new facility being built in Muhlenberg County.

Repkon USA to meet rising ammunition demand

The contract aims to address the growing demand for TNT in military applications, driven by global conflicts such as the ongoing war between Ukraine and Russia.

The U.S. Department of Defense (DOD) has been working to establish new domestic production lines to secure the supply chain for critical materials, reducing reliance on foreign sources.

Repkon’s previous projects included the establishment of 155mm artillery shell production lines in Texas, which are expected to supply 30% of the U.S.-made shells. The new Kentucky facility will further enhance domestic capabilities in explosives manufacturing.

Strategic expansion for local production in Kentucky

The U.S. Army’s decision to partner with Repkon USA underscores a shift toward strengthening local production capacity for critical defense materials. TNT, a key component in various types of ammunition, is currently sourced predominantly from overseas suppliers.

The new facility will help the U.S. to secure a steady domestic supply line, ensuring greater self-sufficiency in national defense.

‘Establishing domestic production of TNT is vital for national defense’

Senate Republican leader Mitch McConnell, a key player in securing the funding, said the new facility in his home state is part of a broader retooling of the U.S. defense industrial base that’s needed to deter adversaries abroad. Trinitrotoluene, or TNT, is used in artillery shells, bombs and grenades.

Establishing domestic production of TNT is vital for national defense, the army said. The current supply chain for the crucial explosive material is entirely reliant on overseas sources, it said.

The new TNT plant in Kentucky is part of the Army’s strategy to ramp up munitions production to ensure the U.S. military has “timely access to essential resources,” said Maj. Gen. John T. Reim.

“It is not lost on us that victory on the battlefield begins in our production facilities,” Reim said during the announcement at a VFW post near where the plant will be built. “Today marks the beginning of the return of TNT production to American soil, a capability we have not had since 1986.”