Future drop in price for 7.62x39 and raise in 5.56?

Future drop in price for 7.62x39 and raise in 5.56?

This is a discussion on Future drop in price for 7.62x39 and raise in 5.56? within the Defensive Ammunition & Ballistics forums, part of the Defensive Carry Discussions category; Iraqi Army to Ditch AK-47s for M-16s In a move that could be the most enduring imprint of U.S. influence in the Arab world, American ...

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Thread: Future drop in price for 7.62x39 and raise in 5.56?

  1. #1
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    Lightbulb Future drop in price for 7.62x39 and raise in 5.56?

    Iraqi Army to Ditch AK-47s for M-16s


    In a move that could be the most enduring imprint of U.S. influence in the Arab world, American military officials in Baghdad have begun a crash program to outfit the entire Iraqi army with M-16 rifles.

    The initiative marks a sharp break for a culture steeped in the traditions of the Soviet-era AK-47 Kalashnikov assault rifle, a symbol of revolutionary zeal and third-world simplicity that is ubiquitous among the militaries of the Middle East.

    "We in the U.S. know that the M-16 is superior to the AK ... it's more durable," said Army Col. Stephen Scott, who's in charge of helping the Iraqi army get all the equipment it needs to outfit its forces.


    (read the rest of the article clicking on the link above)
    The article would cover many points of argument, specially the last quote, but I am focusing it on future ammo availability. You guys think this push will affect the prices & availability of ammo in the US?
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  2. #2
    Distinguished Member Array sniper58's Avatar
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    It sounds great on the surface. I hope it happens. I think, however, it will take a while for the manufacturers drop prices here and they probably won't until a) demand slows or b) they've squeezed the stone until all of the blood is drained out. The former isn't going to slow until well after the election (if ever) and the latter is all about business economics. A smart manufacturer could corner the market with a price reduction, but our companies have never been known to have the best business accumen.
    Tim
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    Ex Member Array Ram Rod's Avatar
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    You guys think this push will affect the prices & availability of ammo in the US?
    More than likely it already has! Funny how the media swings the market huh?

  4. #4
    Distinguished Member Array 4my sons's Avatar
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    It would suit me just fine, I have an AK but no AR. cheaper ammo, bring it on, While there at it, they can turn in some of those old AK's to me too. I'll clean and fix-em up.

    Actually changing prices, I doubt it.
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    Cheaper 7.62x39S? I doubt it - how often do manufacturers/retailers lower prices once the public has gotten used to paying the higher price?

    More expensive 5.56N? Probably, even if the 165,000 new rifles don't actually reduce supplies that much, the perception of a reduction is all it takes to raise prices (see the oil companies for the last few years...)
    A man fires a rifle for many years, and he goes to war. And afterward he turns the rifle in at the armory, and he believes he's finished with the rifle. But no matter what else he might do with his hands - love a woman, build a house, change his son's diaper - his hands remember the rifle.

  6. #6
    VIP Member Array Redneck Repairs's Avatar
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    IMHO all ammo has and will continue to go up . This is because the components cost more , coupled with the restrictions on mil surp ammo in place . Folks should realize that you cannot buy surplussed US ammo, only remanufactured components , ie they may pull bullets and reload , re use powder ect.. but may not resale any ammo that is sold on surplus as the ammo they bought . and 2nd all steel core ammo ( which is a lot of x39 mil ammo ) is illegal in the usa . Few country's excess importable .mil ammo in any cal and this just eliminates the " cheap ammo " market . The .308 " white box " no name that i have been shooting for a while just doubled in price , i note it is now loaded with ( the box i got ) serria boat tail hp , and i bitched about it , i was told and i quote Its the hp bullets he can get now in volume reliably . Now its an improvement on ammo , but not one i am happy about lol . Point is that i wouldn't expect any ammo to get cheaper unless and untill import restrictions are changed , as well as our own policys on our surplussed ammo .
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    Member Array PileofBrass's Avatar
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    stock up!!!

    all 5.56NATO and 7.62NATO will continue to SKYROCKET in price, due to a military contract(including major U.S. and foreign manufacturers), this means no commercial production of FMJs(in 556 or 762). this from ellett brothers distributors(as of 9-07) and backed up by (firearms)industry magazines. the contract will end when there is a surplus of 4.3billion rounds . knowing that there are 9 million rounds(all callibers) loaded commercially per year this should not take too long, i hope, the FAL is a hungry machine. stock up now you havn't seen high prices ....yet!
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  8. #8
    Member Array amlevin's Avatar
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    Let's not forget another factor that is driving prices up. The cost of the base metals alone. Lead has been going up for years. Copper is up many times over the last few years. No copper, no brass so the essentials in a cartridge are more expensive, even before you add powder.

    It is inflation brought about by a weak dollar and increased demand in emerging economies. Not only is China one of the larger holders of Treasury Notes, they are also demanding more raw materials to support their manufacturing growth that produces products to be sold back to us for weaker dollars. And the cycle continues.


    BTW, if the legitimate Iraqi army is outfitted with M-16's it will be easier to tell them from the insurgents with AK's
    ""If I shoot all the ammo I am carrying, I either won't need more or, more won't help me.""

  9. #9
    Member Array blackhawkbill's Avatar
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    the only thing thats going to drop is the amount of rounds we buy ? the price of nothing is going down , only up ....!

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    VIP Member Array Tubby45's Avatar
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    So only the US is going to supply the ammo?
    07/02 FFL/SOT since 2006

  11. #11
    Distinguished Member Array Colin's Avatar
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    Well if my friend has his way, there will be a lot more of both hitting the US market. I noticed at the SHOT show that everyone is looking for a ammo source, right now he only brings in Chinese which he can't export south.

  12. #12
    Distinguished Member Array Reborn's Avatar
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    I heard a good while back that all the ammo makers got together and decided together to continuely and slowly keep raising the prices. It a shame that we have to get the short end of the stick just so the men that run the companies can line their pockets with our hard earned money. As gas prices continue to soar people will have to cut back on their hobbies and training. This will (hopefully) drive the prices back to normal.
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    VIP Member Array dukalmighty's Avatar
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    I don't think i can stress this enough,If you want cheaper ammo you will have to reload,even components keep going up,right now if i already have the brass to reload 5.56 the powder,primer,and 55 grn bullet tip will cost me 15 cents a round to reload.I haven't loaded 7.63x39 yet but if i ever do i will first have to buy some boxer primed brass case ammo first then reload after i shoot it

  14. #14
    Member Array RichardB's Avatar
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    How many armies currently use 7.62x39? That will give an idea about the requirements for new ammo to be manufactured.

    Aren't we generally using cheap army surplus ammo in this caliber except for certain deer or home defense loads?

    If the requirements for newly made ammo are none or minimal then expect the price of 7.62 x39 to keep going up as the pile of surplus ammo gets smaller.

    We probably wont see the cost of new ammo go down.

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