Negotiations over ammunition production in Ida-Viru County reach final stages
Negotiations with a company to begin producing large-caliber ammunition in Põhja-Kiviõli, Ida-Viru County, have reached the final stages, with an agreement expected to be concluded in the coming weeks.
According to Minister of Defense Hanno Pevkur (Reform), Estonia will not have a stake in the company or be required to purchase its products, as is assumed by German arms manufacturer Rheinmetall, which is establishing factories in Latvia and Lithuania.
The company's main requirement is that the state guarantees the necessary infrastructure for production including water, gas, and electricity supplies. The total amount of investment depends on what else will be produced in addition to artillery ammunition, but will come to at least €250 million.
"The entire 155-millimeter production process requires different cycles, and that will certainly increase over time," Pevkur said.
"They have talked about over 100 jobs here, but we have to consider that this also involves a large number of other sectors – logistics and everything related to service, backup and so on. The chain will certainly involve a significantly larger number of jobs."
---
Editor: Michael Cole, Valner Väino
Source: "Aktuaalne kaamera"
