Estonia’s defence capabilities will reach a new milestone in 2026 when air defence against targets flying at altitudes of up to 20 kilometres (12 miles) will receive an additional layer in the form of medium-range air defence.
There will also be upgrades to drone capabilities, more firepower for the ground forces,and a move to develop the naval fleet, among other things, the Estonian defence ministry said in a statement.
Estonia’s defence spending will be €2.4 billion in 2026, or 5.43% of the country’s GDP. This is nearly four times more than in 2021, before the full-scale Russian aggression against Ukraine. In the years 2026-2029, 37% of Estonia’s defence budget will be spent on procurement, with a further 25% on ammunition, to continue the rapid replenishment of ammunition stocks.
In 2026, Estonia’s air defences will have a completely new layer, as the medium-range air defence system procured together with Latvia will be delivered. The system from a German manufacturer, which has proven its worth in Ukraine, is capable of repelling aircraft at a range of around 40 kilometres (24 miles) and an altitude of 20 kilometres (12 miles).
The first private munitions factory launched in Ämari
The M142 high mobility artillery rocket system – known as HIMARS. Photo by the US Army, public domain.
In order to affect the enemy from a distance, the number of K9 self-propelled guns will be increased to 36 and the existing dozen wheeled Caesar self-propelled guns will be added. HIMARS systems are in place to reinforce the deep-strike capability, and ammunition supplies continue, while Estonia is also procuring additional Chunmoo artillery rocket launchers from South Korea, the defence ministry said.
Estonia also plans to renew its navy fleet. Mine hunters will receive new main engines this year and a contract will be signed to extend their lifetime. A market analysis is also underway to build up to four new vessels during the period of this development plan. Maritime surveillance radars are also being modernised and a coastal defence missile system has been set up.
In the field of defence industry, the first Estonian munitions factory run by a private company has launched production in Ämari. This year, the construction of the basic infrastructure will start in the Ermistu Defence Industrial Park in Pärnu County, where four companies have been selected.
A defence industrial park will also be built in Kiviõli, and negotiations are under way to produce large calibre ammunition there. The construction of the Estonian part of the Baltic defence zone will move forward with the procurement for large bunkers and the construction of barrier ditches, according to the defence ministry.
