Welcome word
Lithuania is at a defining moment for its national security and Europe’s resilience. In an era of rapidly evolving threats, rely- ing on yesterday’s solutions is no longer an option. Strengthening defence capabil- ities, investing in technological advantage, and building an economy that supports long-term security are essential. This is why Lithuania has set a clear strategic am- bition: to become a regional centre for de- fence innovation, where security priorities, industrial capacity, and cutting-edge tech- nologies converge to deliver real impact. This ambition is underpinned by strong national commitment. Lithuania’s defence budget will reach €4.79 billion in 2026, around 5.38% of GDP. Sustained invest- ment provides a stable foundation for innovation and industrial development, enabling companies, researchers, and partners to plan long term, scale advanced solutions, and strengthen Lithuania’s con- tribution to NATO and European security. In recent years, Lithuania has moved from a fragmented landscape to a coordinated defence innovation ecosystem. Recognis- ing that innovation is a journey rather than a linear process, the Government, armed forces, research institutions, and indus- try are building a comprehensive toolkit that supports companies from early ideas through testing, procurement, and access to international markets.
The defence and dual-use ecosystem has grown into a coordinated network with in- creasing industrial weight. In 2024, sector turnover reached approximately €960 mil- lion and has continued to expand, driven by support to Ukraine, rising NATO demand, and the reshoring of critical supply chains. Today, around 100 innovative companies operate in areas such as UAVs, lasers and photonics, ICT and advanced engineering. Lithuania already demonstrates strong ca- pabilities in laser and photonics technolo- gies, UAV and counter‑UAV solutions, and high value‑added components. Compa- nies are integrating into global value chains through partnerships with international leaders, strengthening Lithuania’s role as a trusted supplier within NATO and the EU. This growth is supported by a comprehen- sive policy framework, including the De- fence Technology Development Program and the Defence and Security Industry Act. Together with the €300 million Vytis initiative, these measures are accelerat- ing innovation, expanding industrial ca- pacity, and reinforcing Europe’s collective security.
Edvinas Grikšas Minister of Economy and Innovation of the Republic of Lithuania
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