Paligen Technologies

A Brazilian ammunition giant just took a step toward the U.S. medium-caliber market, and it picked an American partner to get there. CBC Global Ammunition and Paligen Technologies, a U.S.-based engineering and manufacturing firm, announced a Strategic Alliance Agreement on June 16, 2026, during Eurosatory, the defense exhibition in Paris. The deal sets up a framework for the two companies to jointly chase opportunities in medium-caliber ammunition, with an initial focus on U.S. government programs and future requirements for tactical and training rounds, according to the companies. Medium-caliber ammunition sits in an unglamorous but essential slice of the defense supply chain. It generally covers cartridges in the 20mm to 40mm range, the rounds that feed autocannons on armored vehicles like the Bradley fighting vehicle, naval close-in weapon systems, and aircraft guns such as the 30mm cannon mounted on the Apache attack helicopter. Unlike small-caliber rifle ammunition, which dozens of manufacturers worldwide can produce, the medium-caliber segment has historically run through a much smaller set of suppliers, with General Dynamics Ordnance and Tactical Systems serving as the dominant U.S. military source for 25mm and 30mm rounds for decades. A new entrant with the manufacturing scale to actually compete in that space is the kind of development the Pentagon, recently renamed the Department of War, has shown interest in as it looks to widen its supplier base for critical munitions. Founded in Brazil in 1926, the company has grown into one of the largest ammunition manufacturers in the world. CBC says it employs more than 4,000 people and produces nearly 2 billion rounds annually, with facilities spanning Brazil, Europe, and North America. CBC Global Ammunition includes brands and companies such as CBC, Magtech, MEN, SinterFire, New Lachaussée, and Fritz Werner, according to CBC Defense, and its products reach more than 130 countries. The company already supplies small-caliber military ammunition to NATO members and allied forces, giving it an existing relationship with the kind of government buyers it now wants to sell medium-caliber rounds to as well. What CBC has lacked, at least according to the framing of this announcement, is the specific engineering depth and U.S. program experience that would let it compete directly for American defense contracts in this category, which is where Paligen comes in. Paligen Technologies describes itself as bringing advanced engineering, energetic materials expertise, and defense systems integration to the partnership, along with what the company calls strong experience working with U.S. government programs. Energetic materials is the technical term for the explosive and propellant compounds that make ammunition function, covering everything from the propellant that launches a projectile to the fillers in explosive warheads, and expertise in that area matters because medium-caliber rounds carry tighter specifications and more complex internal components than basic rifle cartridges. Neither company has disclosed financial terms, a production location, specific calibers, or a timeline for when the partnership might yield an actual contract, so for now the agreement is a framework for future collaboration rather than confirmation of any particular program win. Fabio Mazzaro, CEO of CBC Global Ammunition, framed the deal as part of the company's broader push into the American defense market. "This strategic alliance represents an important milestone in CBC's continued commitment to supporting the U.S. defense market," Mazzaro said, adding that combining CBC's manufacturing scale with Paligen's engineering experience creates what he called a team capable of supporting demanding defense programs. Katie Hartman, Vice President of Paligen Technologies Aerospace and Defense, echoed that framing from the other side of the partnership, saying the alliance gives the company a chance to work with one of the world's premier ammunition manufacturers and that the result would be "a more robust, capable, and modernized supply chain" for the Department of War. The companies frame the alliance as supporting a more robust U.S. ammunition supply chain, language that fits a concern that has shaped American defense procurement thinking for the better part of a decade, sharpened considerably by the ammunition consumption rates seen in the Russia-Ukraine war and renewed attention on whether the U.S. industrial base can surge production fast enough in a prolonged conflict. Munitions production capacity, medium-caliber rounds included, has repeatedly come up in broader defense industry discussions as an area where expanded domestic manufacturing and a wider pool of qualified suppliers could reduce reliance on a small number of incumbent contractors. Whether this translates into actual rounds delivered to actual American military units depends on steps neither company has detailed yet. Government contracts in this space typically require formal qualification testing before a new entrant can compete for production awards, a process that can take months or years depending on the caliber and the specific military requirement involved. The Eurosatory announcement establishes intent and a working relationship between the two firms, but the harder evidence of whether CBC's manufacturing scale and Paligen's engineering claims translate into a real foothold in the U.S. medium-caliber market will show up in contract announcements, not press releases, whenever those eventually arrive.

Paligen Technologies

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Paligen Technologies

Brazilian ammo giant eyes the U.S. medium-caliber market

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About The Defence Blog