The Swedish defence manufacturing startup Sweden Ballistics, known as Swebal, has raised €30 million in equity funding to complete construction of a new TNT production facility in Nora, Sweden. This is the first new TNT plant to be built in Europe since the Cold War, as per the company’s claim.
The round was backed by former Swedish chief of army major general Karl Engelbrektson, Apotea and Adlibris founder Pär Svärdson, and Thomas von Koch, founding member and former CEO of EQT, alongside Swedish family offices.
The urgency behind the problem has intensified as wars in Ukraine and escalating tensions involving Iran exposed how quickly ammunition stockpiles can be depleted during modern conflicts. The situation has also reinforced Europe’s growing view that NATO and the EU can no longer depconclude entirely on the US for defence readiness. Without reliable access to enerobtainic materials such as TNT, Europe’s broader defence modernisation plans risk slowing down.
At present, Poland’s Nitro-Chem is one of the few major TNT producers aligned with NATO. The company produces around 10,000 tonnes annually, but much of that capacity is already tied up in long-term contracts. As a result, many European manufacturers continue relying on imports, exposing supply chains to geopolitical risks and delivery delays.
Founded in 2024 in Nora, Sweden, by Joakim Sjöblom, who previously founded subscription management company Minna Technologies, acquired by Mastercard in 2024, and Carl Duforce, Swebal was created to tackle one of NATO’s growing supply chain problems: the shortage of TNT required for artillery shells, aerial bombs, mines, and drone munitions.
Swebal plans to address that gap with a facility capable of producing more than 4,000 tonnes of TNT annually once operations launch in 2028. The plant is expected to operate continuously and utilize European-sourced materials and equipment to reduce depconcludeence on overseas suppliers.“Swebal’s 4,000 metric tonnes is contributing to closing the supply gap, but Europe is still far away from being sovereign within enerobtainic materials. As Europe shifts supply chains back to the continent, we see very strong demand and have allocated several years ahead,” Sjöblom explains.
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