Minister of Defence Hanno Pevkur described the establishment of the plant as a significant step in developing Estonia’s defence industry, highlighting the shortage of explosives production capacity in Europe. “The establishment of an explosives plant in Estonia will be a strong added value for the Defence Industrial Park and the ammunition producers that will be operating there,” he said.
Pevkur further noted, “There is a shortage of explosives production capacity in Europe, so building new capacity is essential to ensure security of supply for companies in Estonia and the wider region. The explosives plant will make Estonia more attractive as a location for defence industry.”
Initially, all shares in Hexest AS will be owned by the Estonian state, with plans to involve a strategic investor at a later stage. An initial contribution of up to €7.2 million will be made to fund technical design and preparatory activities.
The technical design phase is expected to take approximately a year, after which the final investment decision will be based on its results. According to the plans, the explosives factory will be located within the Defence Industrial Park and aims to begin production in 2028.
The plant will manufacture RDX-type explosives, which are commonly used in missiles, mines, and missile warheads. The primary clients for the explosives will be both Estonian and European ammunition manufacturers.
Source: Government of Estonia.
