A. Armonaitė submits proposals to the Seimas to reduce restrictions on defence production
On Thursday, the Minister of the Economy and Innovation Aušrinė Armonaitė submitted to the Seimas for consideration amendments to laws on the removal of excessive requirements for the development of the Lithuanian defence and security industry. The amendments propose to create a more favourable environment for Lithuania to produce its own products for European defence, thus avoiding dependence on foreign suppliers.
"A more liberal environment for defence and security companies is a crucial step to ensure even faster growth in this sector. While we currently source most of our weapons from international markets, we see the potential to unlock and expand our domestic production of drones, lasers, optics and other innovative weapon components and accessories. These changes would also help deliver aid to war-torn Ukraine. We must not forget that we can no longer live in peace, so we must do everything we can to grow this sector," said Minister of the Economy and Innovation A.Armonaitė.
The amendments to the Laws on Arms and Ammunition Control and on Public Procurement in the Field of Defence and Security, initiated by the Minister of Economy and Innovation, propose to reduce restrictions on the production of weapons parts in Lithuania. This will allow Lithuanian companies to produce arms parts for foreign arms manufacturers.
The adoption of the amendments would also facilitate the presentation of Lithuanian products in Europe and create more favourable conditions for the employment of workers in this sector. The amendments oblige the Ministry of Defence to carry out technical or warranty maintenance in Lithuania for defence and security products purchased from foreign suppliers for the Lithuanian Armed Forces.
Last year, on the initiative of the Minister A. Armonaitė, the Seimas allowed defence and security companies to operate in special economic zones. In addition, to capitalise on Lithuania's growing industrial potential, the Ministry of the Economy and Innovation, the Ministry of Foreign Affairs, the Ministry of Defence and the Ministry of Interior signed the Guidelines for the Development of the Lithuanian Defence and Security Industry 2023-2027.
Lithuanian companies in the defence and security sector will grow by around 14% between 2018 and 2023, which is twice the national average, and the average wage of companies working in the defence industry is 21% higher than the national average.
