NAICS 332992 Quarterly Industry Report
Small Arms Ammunition Manufacturing
Comprehensive industry research for valuation professionals, business owners, buyers, and lenders
NAICS Code: 332992Sector: 33Updated: Q1 2026
About This Report
This Fair Market Value industry report covers NAICS 332992 (Small Arms Ammunition Manufacturing) using the 2022 North American Industry Classification System. Data sources include the U.S. Census Bureau[5] Economic Census, Bureau of Labor Statistics[6] employment and wage data, and SBA size standard tables. Content reflects ammunition manufacturing establishments where small arms cartridge production is the primary business activity. Regional concentration data draws from Census County Business Patterns and state-level manufacturing employment reports.
Industry Snapshot
Key metrics for the small arms ammunition manufacturing industry.
Industry Definition & Overview
Small Arms Ammunition Manufacturing (NAICS 332992) encompasses establishments primarily engaged in manufacturing ammunition for firearms with calibers of 30 mm (1.18 inches) or less. Products include complete cartridges for rifles, shotguns, pistols, and revolvers, as well as bullet cores, jackets, cartridge cases, primers, and blank cartridges. This classification excludes ammunition exceeding 30 mm, which falls under NAICS 332993.
Production processes involve multiple precision stages. Case preparation includes brass drawing, annealing, and trimming to tight tolerances. Primer insertion requires specialized seating equipment with orientation verification systems. Propellant dispensing uses volumetric or gravimetric metering for consistent charge weights, followed by bullet seating and crimping operations. Quality control protocols test chamber pressure, muzzle velocity, and accuracy at each production lot. Modern automated lines achieve throughputs exceeding 20 million cartridges per year on a single shift.
Demand spans three primary channels: military procurement, law enforcement supply, and civilian commercial sales. Raw material costs for brass, copper, lead, and steel represent a large share of per-unit expenses. According to Census Bureau data[5], establishments in this classification focus on ammunition as their primary product. The Lake City Army Ammunition Plant in Missouri operates as the single largest U.S. production facility, serving as the primary supplier of military-specification ammunition. Additional manufacturing capacity concentrates in Mississippi, Arkansas, and Idaho, near raw material sources and major distribution corridors.
What's Included in This Industry
- Complete cartridges for rifles, shotguns, pistols, and revolvers
- Blank cartridges and dummy rounds for training use
- Bullet cores, jackets, and assembled projectiles
- Cartridge cases manufactured from brass, steel, or aluminum
- Primer cups and primer assemblies for centerfire ammunition
- Shotgun shells including birdshot, buckshot, and slug loads
- Rimfire cartridges and components
- Specialty ammunition including tracer, incendiary, and armor-piercing rounds
- Loading and assembly of complete small arms ammunition
- Quality testing and ballistic verification of finished cartridges
NAICS Classification Hierarchy
| Level | Description | Code |
|---|---|---|
| Subsector | Fabricated Metal Product Manufacturing | 332 |
| Industry Group | Other Fabricated Metal Product Manufacturing | 3329 |
| NAICS Industry | All Other Fabricated Metal Product Manufacturing | 33299 |
| National Industry | Small Arms Ammunition Manufacturing | 332992 |
Related NAICS Codes
| Code | Description | Relationship |
|---|---|---|
| 332993 | Ammunition (except Small Arms) Manufacturing | Covers ammunition exceeding 30 mm in caliber including bombs, grenades, rockets, and torpedoes, distinguished from small arms ammunition by larger caliber threshold and military ordnance focus |
| 332994 | Small Arms, Ordnance, and Ordnance Accessories Manufacturing | Manufactures firearms and guns designed to fire small arms ammunition, creating a complementary product relationship where firearm specifications determine ammunition design requirements |
| 325920 | Explosives Manufacturing | Produces explosives, propellants, and powder compounds used as primary charges in ammunition cartridges, serving as a critical upstream chemical input supplier to ammunition assembly operations |
| 331491 | Nonferrous Metal (except Copper and Aluminum) Rolling, Drawing, and Extruding | Processes nonferrous metals including brass and copper through rolling, drawing, and extruding operations that produce cartridge case stock and bullet jacket materials for ammunition manufacturing |
| 331110 | Iron and Steel Mills and Ferroalloy Manufacturing | Produces steel used in ammunition casings, projectile cores, and manufacturing tooling, supplying ferrous metal inputs for steel-cased ammunition and armor-piercing round production |
| 332710 | Machine Shops | Provides precision machining services for ammunition manufacturing tooling, dies, and specialized production equipment used in cartridge case forming and bullet swaging operations |
Geographic Concentration
Top states by share of national establishments.
| # | State | % Est. | Total Est. |
|---|---|---|---|
| 1 | Texas | 8.7% | 13 |
| 2 | Missouri | 7.3% | 11 |
| 3 | Florida | 6.7% | 10 |
| 4 | Montana | 6.0% | 9 |
| 5 | Arizona | 6.0% | 9 |
| 6 | Georgia | 5.3% | 8 |
| 7 | Pennsylvania | 5.3% | 8 |
| 8 | California | 4.7% | 7 |
| 9 | Utah | 4.7% | 7 |
| 10 | Alabama | 4.0% | 6 |
% Of Establishments
0%
9%
Source: County Business Patterns, U.S. Census Bureau[3]
SBA Lending Summary
16
Total SBA Loans
$29.6M
Total Loan Volume
$1.8M
Average Loan Size
10 yrs
Average Loan Term
9.00%
Average Interest Rate
584
Jobs Supported
Source: SBA 7(a) Program Data, U.S. Small Business Administration — FY 2025[4]
Key Insight: The Small Business Administration[7] sets the size standard for NAICS 332992 at 1,500 employees. Firms averaging 1,500 or fewer employees over the preceding 24 months qualify as small businesses for SBA loan programs, federal contracting set-asides, and small business certifications. This threshold reflects the capital intensity and scale typical of ammunition manufacturing, where automated production lines and federal compliance requirements create barriers to entry for smaller operations. Eligible businesses can access SBA 7(a) loans[8] for working capital, equipment, and acquisition financing, while 504 loans[9] support major fixed-asset purchases including real estate and heavy machinery.
Top SBA Lenders
| # | Lender | Loans | Volume | Avg Loan |
|---|---|---|---|---|
| 1 | Newtek Bank, National Association | 8 | $20.0M | $2.5M |
| 2 | Mountain America FCU | 8 | $9.6M | $1.2M |
Frequently Asked Questions
Common questions about this industry.
What types of businesses are classified under NAICS 332992?
NAICS 332992 classifies establishments primarily engaged in manufacturing small arms ammunition of 30 mm or less in caliber. This includes manufacturers of complete cartridges for rifles, shotguns, pistols, and revolvers, as well as producers of ammunition components such as bullet cores, jackets, cartridge cases, and primers. The classification covers both military-specification and commercial ammunition production. Ammunition exceeding 30 mm falls under NAICS 332993[10].
How is the small arms ammunition manufacturing industry structured?
The industry includes both large integrated manufacturers operating multiple production lines and smaller specialty firms producing niche calibers or premium ammunition. Major production facilities run automated assembly lines handling case forming, priming, powder charging, bullet seating, and crimping in continuous operations. Smaller manufacturers often focus on precision match-grade ammunition, wildcat calibers, or hand-loaded specialty products. Government-owned contractor-operated facilities such as the Lake City plant handle military production volumes.
What is the SBA size standard for small arms ammunition manufacturers?
The SBA sets the size standard at 1,500 employees for NAICS 332992. Firms averaging 1,500 or fewer full-time and part-time employees over the preceding 24 months qualify as small businesses for federal contracting purposes and SBA loan programs. This relatively high threshold reflects the capital-intensive nature of ammunition manufacturing. Details are available from the SBA size standards table[7].
What NAICS codes are closely related to small arms ammunition manufacturing?
Several codes share supply chain or product relationships with 332992. NAICS 332993 covers larger ordnance ammunition (over 30 mm), while NAICS 332994 covers firearms manufacturing. NAICS 325920 covers explosives and propellant manufacturing, a critical input. Market 331491 covers nonferrous metal processing that produces brass and copper stock for cartridge cases. These related codes reflect the integrated supply chain from raw metals and chemical propellants through finished ammunition.
What industries depend on small arms ammunition manufacturers?
Military branches and defense agencies purchase ammunition for training and operational use through government contracts. Law enforcement agencies at federal, state, and local levels maintain ongoing procurement for duty and training ammunition. Civilian markets include recreational shooting, competitive marksmanship, and hunting, with demand flowing through sporting goods retailers[11] and firearms dealers.
What activities and products does NAICS 332992 include?
Covered activities include manufacturing complete cartridges, blank ammunition, bullet cores and jackets, cartridge cases, primer assemblies, and shotgun shells. The classification also covers loading and assembly operations for finished ammunition and quality testing including pressure and velocity verification. Excluded activities include ammunition reloading using commercial components and production of ammunition exceeding 30 mm in caliber.
Are small arms ammunition manufacturers eligible for SBA loans?
Yes, ammunition manufacturers meeting the 1,500-employee size standard qualify for SBA lending programs including 7(a) loans and 504 loans. These programs support equipment purchases, facility expansion, working capital, and real estate acquisition. Federal contracting set-asides also apply, giving qualified small ammunition manufacturers preference in government procurement. The SBA lending programs[12] page details eligibility and application processes.
Where is small arms ammunition manufacturing concentrated in the United States?
Missouri hosts the Lake City Army Ammunition Plant, the largest single ammunition production facility in the country. Mississippi and Arkansas maintain major commercial manufacturing operations for centerfire and rimfire ammunition. Idaho supports production at multiple facilities. These locations reflect proximity to raw material sources, military installations, and favorable operating environments. According to BLS data[6], manufacturing employment in this sector concentrates in the South and Midwest regions.
Sources & References
Government datasets and editorial sources used in this report.
- [1]U.S. Bureau of Labor Statistics, Quarterly Census of Employment and Wages bls.gov
- [2]U.S. Census Bureau, Economic Census census.gov
- [3]U.S. Census Bureau, County Business Patterns census.gov
- [4]U.S. Small Business Administration, SBA 7(a) Loan Program Data data.sba.gov
- [5]Census Bureau data census.gov
- [6]Bureau of Labor Statistics bls.gov
- [7]Small Business Administration sba.gov
- [8]SBA 7(a) loans sba.gov
- [9]504 loans sba.gov
- [10]NAICS 332993 census.gov
- [11]sporting goods retailers census.gov
- [12]SBA lending programs sba.gov
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