Yea, that's why we had to buy bullets from China for our troops in Iraq.
There is a serious surge of demand for bullets due to the Iraq war. Bullet manufacturers in this country don't sit around with spare manufacturing capacity just in case a war breaks out. They manufacture enough bullets to meet standard demand. So, it only makes sense that in such a situation, we would need to turn to foreign manufacturers.
What would have been your solution? Government subsidies to bullet manufacturers to allow them to keep lots of unused manufacturing capacity, just in case?