Regional securety pillar

Security, resilience and prosperity can only emerge through trusted partnerships. That is why, as an active member of NATO and the EU, Lithuania is a keen contributor to regional stability through defence cooperation, military innovation and a clear-eyed perspective on emerging challenges. The country is now among Europe’s leaders in defence spending, dedicating over 5% of GDP to the sector.

Serious security spending

Lithuania has steadily increased the share of GDP dedicated to defence since 2021, reaching 5.38% in 2026. This puts the country at the forefront of defence spending in Europe.

It reflects Lithuania’s understanding of its role in European security: to be an active provider of security rather than a passive recipient. Positioned on NATO’s eastern flank, one of the areas where the Alliance’s collective defence is most critical, Lithuania sees its efforts as vital not only for its own security but for the stability of Europe as a whole.

Strong regional partnerships

Lithuania works actively with regional partners to help secure a stronger Europe. Germany, in particular, has emerged as one of its closest defence collaborators. The German brigade stationed in Lithuania marks the first time since World War II that Germany has permanently based a full brigade outside its borders, and it helps NATO strengthen the security of its eastern flank.

Defence industry ties are deepening too, including cooperation on logistics and infrastructure. A compelling example is Rheinmetall‘s 155 mm artillery ammunition plant near Baisogala. At around €260 million, it is the biggest defence investment in Lithuania’s history. Rheinmetall is building the plant together with EPSO-G Invest, a Lithuanian state-owned investment company. The project has moved at remarkable speed, becoming operational within just two years of the initial partnership agreement.

A rising miltech ecosystem

Lithuania is ramping up the industrial side of its defence strategy. Nearly 100 firms now operate in the country’s defence and security sector, an increase of 18% between 2022 and 2025. To accelerate this momentum, the €300 million Vytis initiative aims to triple defence exports by 2030. Lithuania has also set targets of attracting at least five major international defence companies and growing the defence industry’s value added to more than €1 billion.

The MilTech Lab and MilTech Sandbox initiatives, coordinated by Innovation Agency Lithuania, are designed to turn that intent into reality. Both will allow companies to test new technologies under realistic conditions, from the earliest stages of development to full deployment.