Lithuania implements defense industry law amendments

Amendments to the Defense and Security Industry Law entered into force in Lithuania on September 1. The changes aim to reduce bureaucratic redundancy and centralize responsibility for implementing industrial cooperation within the Ministry of National Defence.

Under the new regulations, industrial cooperation—where defense equipment suppliers integrate local industry through technology transfer, manufacturing, or maintenance—will apply to procurements exceeding 20 million EUR, up from the previous 5 million EUR threshold. This shift is intended to focus the mechanism on strategically significant acquisitions.

Lithuanian defense industry obligations under existing contracts have already surpassed 100 million EUR. Five industrial cooperation agreements have been signed since the original law took effect in July 2024, covering areas such as howitzer repair capabilities, manufacturing equipment investments, ammunition quality assessment, and research and development.