Lithuania’s Ministry of Economy and Innovation has signed a letter of intent with a Ukrainian company to construct a new-generation RDX explosives factory in Lithuania, as reported by Lithuania’s Ministry of Economy and Innovation on 16 October.
Minister of Economy and Innovation Aušrinė Armonaitė stated,
“We are actively developing cooperation with our partner Ukraine in the defense sector. The new explosives factory in Lithuania is a clear signal to the aggressor that we will not back down.”
The global RDX explosives market is rapidly expanding, with the market value reaching approximately 10 billion US dollars in 2023. Projections suggest the market will grow to 13 billion US dollars by 2028 due to increasing demand for this explosive material, according to the report.
Lithuania’s Vice Economy Minister Erika Kuročkina emphasized that the new-generation plant built by Ukrainians in Lithuania will significantly contribute to the country’s defense sector development. In recent years, the ministry has taken steps to create favorable conditions for defense industry companies and attract foreign investors to the sector.
“We initiated legislative amendments that create favorable conditions for developing defense industry projects in Lithuania, which has attracted the attention of major global defense companies,” Kuročkina said.
She added that Lithuania has already attracted German defense industry giant Rheinmetall to build an ammunition factory and reached an agreement with US defense giant Northrop Grumman for ammunition production.
The ministry initiated legislative amendments this year to expedite the start of defense industry projects in Lithuania. Due to simplified procedures resulting from these amendments, the construction of this factory could begin as early as next year.
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