Lithuania emerging as key defence industry hub in Europe, president says

VILNIUS - Lithuania is emerging as one of Europe’s key defence industry hubs, President Gitanas Nauseda said on Friday.

"Lithuania is rapidly becoming one of the most important centres of the European defence industry. Global leaders such as Rheinmetall and Northrop Grumman do not choose production sites based on sentiment. Their presence in Lithuania is a clear signal that our industrial base, workforce, and legal environment meet the highest standards for allied defence production," the head of state told the Lithuanian-Finnish Business Forum in Vilnius on Friday.

According to Nauseda, Lithuania’s engineering capabilities-particularly in photonics, optics, and cybersecurity-were developed long before these sectors became strategic and are now becoming a vital base for defence and dual-use technologies.

"Finland brings to this partnership what is lacking in today’s world: institutional wisdom in resilience. Your comprehensive defence model, seamless integration of civil and military readiness, and technological depth in systems and materials complement Lithuania’s strengths," the President said.

Finnish President Alexander Stubb said at the forum that Finland offers a stable business environment.

"We have a very stable business environment, just like you, because we are part of the European Union’s internal market-sometimes a bit too regulated, I admit, but at least you know what you are getting. We are also, of course, a technologically very advanced country," Stubb said.

The forum also saw agreements to strengthen cooperation between Lithuania and Finland in defence, innovation, and dual-use technologies. Memoranda of understanding were signed between the Finnish defence innovation network Define and Tech-Park Kaunas, as well as between the industrial confederations of both countries, aimed at developing trade, investment, scientific ties, and defence innovation ecosystems.