French President Emmanuel Macron, along with the Minister of Defense, Sébastien Lecornu, and the Minister of Economy, Bruno Le Maire, visited the ammunition powder factory Eurenco in Bergerac on April 11, 2024. This visit was aimed at highlighting the progress made in the “war economy,” particularly in terms of local employment opportunities, since its initiation in the summer of 2022, shortly after the outbreak of the war in Ukraine. Macron laid the foundation for a new production line at the factory amidst a sunny day and a crowd of smiling high school students eager to apply for potential job opportunities or apprenticeships.
Eurenco, a state-owned company with 900 employees, including 330 in Bergerac, and an annual revenue of 190 million euros, had been struggling before the war but has now been revitalized as a key player in the global ammunition race. Macron praised the company’s resurgence, stating that it symbolizes a positive development. He announced that the increased international orders, totaling 1.2 billion euros since mid-2023, will lead to the creation of 250 new jobs in Bergerac by 2025, and more within the company as a whole. Macron emphasized the growing role of defense industries in the changing geopolitical landscape and stressed the need to act swiftly and decisively.
The weaknesses of Eurenco had been a bottleneck in the revival of the European ammunition industry, given the limited number of powder manufacturers. However, under the leadership of Thierry Francou, the company has already doubled its production in a year. Plans are in place to double production again by 2025 for explosives and small caliber powders, and increase it tenfold for large calibers like the highly sought-after 155mm shells by 2025-2026. To achieve this, Eurenco has implemented a production relocation plan and invested 500 million euros. A significant portion of this investment comes from the European Commission’s support action for ammunition production (ASAP) created in mid-2023 to boost the European ammunition industry.
Macron underlined the need for speed and scale in the expansion of the defense industry, emphasizing the importance of strengthening the ammunition manufacturing capabilities in Europe. The visit to Eurenco coincided with a lunch meeting between Macron and industry leaders from companies like Dassault, Naval Group, and Nexter. These discussions focused on enhancing collaboration and coordination within the defense sector to meet the increasing demands arising from geopolitical shifts. The expansion of Eurenco’s production capacity and the creation of new jobs in Bergerac are seen as positive steps towards securing France’s position in the global ammunition market.
Overall, Macron’s visit to the Eurenco ammunition factory highlighted the strategic importance of the defense industry and the necessity of investing in ammunition production capabilities. The reinvigoration of Eurenco, with its plans to double production capacity and create new jobs, demonstrates the government’s commitment to strengthening national defense and seizing opportunities in the global arms market. With international orders on the rise and a focus on innovation and efficiency, Eurenco is well-positioned to contribute to the growth of the European defense industry and play a significant role in the evolving geopolitical landscape.
