The agreement was signed by Lithuanian Defence Minister Laurynas Kasčiūnas, Finance Minister Gintarė Skaistė, and Northrop Grumman Vice President Stephen O’Bryan. Prime Minister Ingrida Šimonytė hailed the partnership as a crucial development, stating: “This partnership is another very important step in the development of Lithuania’s defence industry and, consequently, in strengthening the defence capabilities not only of our country but also of all democracies.”
According to Defence Minister Kasčiūnas, the goal is to finalise the contract by the end of the year, with production of 30mm calibre ammunition expected to commence within 18 months. “It is amazing that we have managed to take such an important step in such a short period of time,” Kasčiūnas remarked after the signing.
The ammunition, primarily intended for Lithuania’s infantry fighting vehicles (IFVs), will also be supplied to other countries in the region. “We’re talking about 30mm ammunition, which is suitable for our infantry fighting vehicles because we’re also planning to expand our arsenal of IFVs,” Kasčiūnas explained during an interview with LRT RADIO. He added that the project would reduce reliance on external supply chains and strengthen Lithuania’s defence industry.
The new production facility will be located at the Giraitė Armaments Factory in Kaunas District. Northrop Grumman will establish a production line for 30mm calibre ammunition, with a joint venture involving Lithuanian participation in its management. Finance Minister Gintarė Skaistė noted that Lithuania would maintain control over the factory, ensuring national oversight of the project’s future development. “The likely cooperation will be aimed at maintaining the Lithuanian side’s control of the company, not only by giving its territory but also by having a say in the development of further capacity,” Skaistė told reporters.
The investment in the project is expected to reach tens of millions of euros, with details regarding cost sharing and Lithuania’s specific commitments to be determined during the next phase of negotiations. Both ministers assured that the Giraitė Armaments Factory would remain under Lithuanian ownership, with no changes to its current management structure.
