Executive Summary
Baltic Defense Industry Consortium: formal organization linking 100+ defense companies from Lithuania, Latvia, and Estonia. Secretariat in Vilnius with offices in Riga and Tallinn. Functions: joint R&D coordination (shared projects), production sharing (capacity pooling), coordinated procurement (joint NATO bids), supply chain integration, and export marketing. Government-backed with industry governance. Target: 100+ member companies, €500M+ joint production capacity, 10+ joint R&D projects, successful NATO joint procurement bids.
In short: 100+ member companies from 3 nations; €500M+ coordinated production capacity; 10+ joint R&D projects launched
The Problem
Baltic defense industries individually too small for major contracts. Lithuania: ~50 defense companies, €200M output. Latvia: ~30 companies, €100M. Estonia: ~40 companies, €150M. Combined: 120 companies, €450M—still small by NATO standards. Lack of coordination means: companies compete instead of cooperate, R&D duplicated, supply chains fragmented, large contracts go elsewhere. Individual Baltic companies too small for €50M+ contracts; consortium pooling enables €500M+ programs. Ukrainian consortium model: companies that coordinate outcompete those that don't by 40%. Without Baltic coordination, defense industrial base remains fragmented and uncompetitive.