So you're saying Stag Arms builds the parts and manufactures the US M16-A4 under the Colt name for the US military?
No. Just reread my answer, should have said ... 'under their own brand for foreign military sales'...
Colt builds Colts. But Colt doesn't machine all of their parts/components in-house, they use subcontractors, the largest and oldest being Continental Machine Tool, located about 6 miles away, in New Britain, CT. (Largest in 2008 might not be true, I don't know how much Colt Canada now builds vs CMT, I would assume they build quite a lot).
When a primary defence contractor employs a sub-contractor, that sub-contractor and their work must be approved by the Govt. CMT is an authorized and approved Dept of Defense subcontractor for the M4 and M16 programs and have been manufacturing M16/AR15 parts under license, since 1973.
CMT continues to operate as an authorized major subcontractor to the M4 program (parts/refurbs - including M16 to M4 fleet conversions), a lesser subcontractor to the current M16 contractor (AFAIK, bolts, don't know what else, do know that FN makes much more of their own parts than does Colt). They continue to manufacture the M203 under license, and are a growing concern internationally with their own Stag Arms M16, which is manufactured to current M16A4 specs and is approved for US Foreign Military Assistance sales as an M16A4 (they also do the odd run of M16A2 when requested).
When Stag Arms went with the slogan "Worldwide leader in AR15 and M16 Manufacturing", they were not blowing smoke.
