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ATF reclassifies smokeless powder

Breaking: Latest ATF Surprise Could Drive Ammo Prices Through the Roof

reloading

(Note: We don't normally jump on the latest gun-panic bandwagon around here, but this rule change is the Real Deal. If it stands, it will be devastating for hunting and the shooting sports.)

As reported on Ammoland, a sudden ATF rule change promulgated entirely without warning in a newsletter has reclassified a critical component of smokeless powder as a "high explosive".

The problem is that there are very strict rules governing the storage and transport of high explosives, and the ammunition supply chain is totally unprepared to suddenly comply with those rules.

Overhauling the ammunition supply chain to accommodate those rules will be a long and expensive process, which would be bad enough news for ammo prices. But the knockout blow is the fact that the industry was given no warning and zero grace period, so they're just screwed, because as of yesterday they're now in sudden violation of federal law.


"Manufacturers and importers of smokeless propellant have relied on ATF private letter rulings issued prior to 2016 stating that nitrocellulose wetted with water not less than 25 percent by mass is not subject to regulation under the federal explosives laws. Accordingly, the manufacturers have set up their logistics, storage and operations consistent with nitrocellulose not being regulated as an explosive. Manufacturers and importers may not have adequate storage facilities or record keeping systems to comply with the law. Licensed manufacturers also rely on private, unlicensed vendors to store wetted nitrocellulose in facilities that do not comply with storage requirements. A number of manufacturers also report an adverse impact on their contracts to supply smokeless propellant and finished rounds of ammunition to the Department of Defense.

Publication of the change in classification in an industry newsletter without advance notice has left manufacturers scrambling to determine what standards ATF will allow for alternate storage and record keeping and to obtain permits for unlicensed storage vendors. In the meantime, manufacturers and importers are violating federal law, as ATF allowed no grace period for coming into compliance. We note that ATF has authorized such periods in the past when changing agency positions. For example, see ATF's November 12, 2010 Open Letter regarding explosive pest control devices.

ATF's sudden and unexpected change in policy on wetted nitrocellulose will likely have a significant impact on industry's ability to deliver products to the military and commercial markets. Industry members have relied on the exemption for wetted nitrocellulose for many years and are aware of no accidental detonations or diversion of this product into illicit channels. Consequently, it is unclear why ATF believed it necessary to change its policy and, more importantly, why ATF announced the change in a newsletter article with no advance notice to industry."

Given that this ruling will result in a drastic shortage of smokeless powder, it's going to bite reloaders just as hard as everyone else.

This stunt is also going to hurt the DoD as well as civilians. Given the collateral damage to military ammo supplies, I don't expect this ruling to stand. Something will have to be done, or else the troops will run out of ammo.

Whether it actually stands or not, the new ATF ruling does provide a nasty preview of what's to come in a future Democratic administration… so prepare yourselves accordingly. Indeed, I wouldn't be surprised to see an ATF rule change that basically kills the reloading scene by reclassifying smokeless powder and "ammo manufacturing" in a way that makes reloading either very expensive — as with gunsmithing and the recent ITAR ruling — or outright illegal.

As with the Massachusetts Attorney General's recent "clarification" (i.e. massive, unlegislated expansion) of that state's assault weapons ban, what we're seeing here is a wholesale trend at the local and state levels towards using executive fiat to restrict gun rights by reinterpreting existing laws.

Given the deadlock in congress — a deadlock that, if it does end on this election cycle, will probably end with the Democrats taking control of both houses as the Trumptanic sinks and takes the down-ballot races with it — do not expect any legislative relief. The only way to fight these kinds of executive overreaches will be through the courts.
 
From another source:

BREAKING: Latest ATF Move Could Cause Ammunition Price Spike Due To Component Reclassification


Tags: Wetted Nitrocellulose



ATF

Just recently the ATF sent out their monthly explosives industry newsletter detailing a new take on the legalities regarding transporting "wetted" nitrocellulose, a compound used in the production of smokeless powder, stating that wetting the nitrocellulose no longer made it a non-explosive and it would be subject to increased regulation.

What this means for the ammunition industry is largely unknown at this time. There is speculation as always that the price of ammunition will go through the roof, but without knowing more about the new ruling and what new hoops manufacturers will have to jump through any speculation is better received from a set of discount tarot cards.

Sadly if the speculators are correct about ammunition costs exploding (heh, pun intended) not only will the average purchaser of loaded ammunition be affected, but also the reloader who normally misses out on this sort of fun. Even the DOD will be hit pretty hard by the new ruling, after all, the ammunition plants that supply the military also supply a good majority of civilian shooters.

My educated guess is that this will not affect anything, the ATF would have to be out of their gourd to make such a sweeping change without notifying large ammunition manufacturers.

Below is the excerpt from the ATF newsletter detailing the new opinion:


"ATF was recently asked about the status of nitrocellulose under the Federal explosives laws and regulations. "Nitrocellulose explosive" is on ATF's List of Explosive Materials. ATF has determined that nitrocellulose containing greater than 12.6 percent nitrogen is a high explosive under 27 CFR, Part 555 (nitrocellulose containing 12.6 percent or less nitrogen is generally not an explosive material under Part 555). Therefore, it must be stored in a type 1 or type 2 magazine. We are aware that the U.S. Department of Transportation may assign a nonexplosive classification to nitrocellulose when it has been wetted with water or alcohol. This is based, in part, on the diminished likelihood of explosion in a transportation accident. Because the nitrocellulose retains its explosive characteristics when the water or alcohol is removed, the wetted nitrocellulose remains a nitrocellulose explosive, subject to the licensing, safety and security requirements of the Federal explosives regulations. However, based upon the diminished likelihood of wetted nitrocellulose exploding, ATF will consider variance requests to store the wetted material under an alternative arrangement."
 
I am assuming the NRA will immediately file for an Injunction because what this means is no one can transport loaded ammunition except under the rules for HE, which includes the US Army and Marines.

This should also be a significant bad move for the democrats because Clinton will be forced to respond to reporters questions on the topic and she will be for it, absolutely.

As for reloaders, i would wager the shelves are already cleared.
 
From the link:

Nitrocellulose - Update

"ATF's June 2016 Explosives Industry Newsletter included a brief discussion of Nitrocellulose, and attempted to clarify the circumstances under which wetted Nitrocellulose is considered a high explosive under 27 CFR, Part 555. As with all explosives, ATF's focus is on the potential public safety risks associated with materials that can be misused or diverted to unlawful purposes. Subsequent contact from industry members who import, transport, store or employ wetted Nitrocellulose in the production of ammunition, however, has brought to our attention issues that were not fully addressed in the Newsletter and require further consultation and consideration with the industry. Accordingly, ATF has and will conduct further industry outreach concerning wetted Nitrocellulose. In the interim, previously authorized industry practices concerning wetted Nitrocellulose will not be affected."

Sounds similar to the steel core .223 ammo "re-classification" attempt a while back.
 
It sounds like the letter has been recalled. This shows why it is important to vote for people that will support our 2nd amendment rights. A simple rule change can have a major impact on our ability to buy ammo, or to raise the price so high only a few will want to buy it.
 
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