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Home » Explosives shortage could lead to higher phone, energy and housing prices
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Explosives shortage could lead to higher phone, energy and housing prices

Editor-In-ChiefBy Editor-In-ChiefNovember 11, 2025No Comments3 Mins Read
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According to the Institute of Explosives Manufacturers (IME), the United States is facing a TNT shortage. TNT is a high explosive that is essential in the production of commercial explosive products such as cast boosters commonly used in the mining and construction industries.

“Almost everything we use every day, from our cell phones to our laptops to the roads we take to work to the homes we live in, began with commercial explosives,” said Clark Mica, president of IME.

The United States has relied on foreign suppliers of TNT since the mid-1980s, when the nation’s last TNT facility was shut down primarily due to increasingly stringent environmental regulations. According to the Environmental Protection Agency, TNT production produces hazardous waste that poses a risk to human health.

But the Ukraine war is straining global defense supply chains.

“It was certainly China and Russia that sold TNT directly to the United States just a few years ago, and then the United States became very dependent on Poland,” said James Marquez, senior aerospace, defense and security analyst at GlobalData. “The reality is that Poland’s Nitrochem is flooded with orders at the moment, and most of its produce is flowing back across the border into Ukraine.”

TNT, which cost 50 cents a pound in the early 2000s, can now cost more than $20 a pound, industry officials say. President Donald Trump’s 10% basic tariff has also increased the cost of importing TNT, as the U.S. now sources it from Turkey, Vietnam, Australia, India and other countries.

“That means more expensive construction projects, more expensive infrastructure projects, more expensive energy production, all of which our economy depends on to continue to grow,” Mica said.

In response to the TNT shortage, Congress awarded defense manufacturer Repcon USA a $435 million contract to design, construct, and commission an Army-operated TNT plant in Graham, Kentucky.

“Today marks the beginning of the return of TNT production to American soil,” Maj. Gen. John T. Lime said at a press conference last November. “This history-making effort underscores our commitment to strengthening our national security and reducing our dependence on foreign sources for critical supplies.”

However, it is estimated that the power plant will not be operational until 2028.

“In the short term, we’re going to have to find supply to meet demand,” Mica said.

Other high explosives, such as RDX, which could normally serve as viable replacements for TNT, are also in short supply.

“Without these materials, we can’t mine the critical minerals that are used to make mobile phones. We also can’t mine the aggregates that are used in the materials on our roads. On the energy side, we use commercial explosives for energy production,” Mica said.

To learn more about the global TNT shortage and what’s at stake for consumers, watch the video above.



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