Estonia halts €500 million combat vehicle procurement to fund air defense

The Estonian government decided Thursday to halt a €500 million procurement program for new combat vehicles, redirecting the funds toward air defense, drones and unmanned systems, Defense Minister Hanno Pevkur said.
Experience from Ukraine, market conditions and military advice from the commander of the defense forces led to the decision to suspend the program, Pevkur added.
The new combat vehicles were scheduled to arrive in Estonia in 2029 and 2030.
"To move forward with other necessary solutions and extend the service life of existing combat vehicles, this decision had to be made now," Pevkur said.

Estonia plans to extend the lifespan of its existing CV90 combat vehicles by up to 10 years. While this will also cost a significant amount, it is still many times cheaper than purchasing new vehicles, the defense minister noted.
Pevkur said that combat vehicle prices are currently expected to rise, which is already reflected in offers.
"The role of heavy equipment on the battlefield is decreasing. Hence the advice from the commander of the defense forces that, over a 10-year perspective, it is not reasonable to replace them, but rather to upgrade existing vehicles," he explained.
The redirected funds will increase the firepower and mobility of the defense forces, as well as fund unmanned systems and improve situational awareness.
"We are keeping up with what we are learning from Ukraine, and air defense and 'eyes and ears' capabilities will certainly be significantly strengthened in the coming years," Pevkur said. "The commander of the defense forces is updating his military advice, after which the next four-year defense investment plan reflecting these capabilities can be approved. The focus is on countering drones, air defense and unmanned systems."

Pevkur noted Tuesday on ERR radio that technology is developing very rapidly, which means future investments must remain flexible so procurement plans can be adjusted if necessary.
"We see, for example, that a laser weapon has been deployed for the first time in Israel," he explained. "Technological development will likely take us to a point where our capabilities keep improving. But whether we can intercept everything is hard to guarantee, because the attacking side is also changing its vectors and developing new solutions. We already have drones with rocket engines, and now electric-motor drones are being tested, which means acoustic sensors are becoming much harder to rely on — especially as we are currently building our own acoustic sensor network."
"So even the hundreds of millions we are investing in counter-drone capabilities over the coming months and years must remain flexible — we have to keep pace with developments," Pevkur added.
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Editor: Marko Tooming, Maria-Ann Rohemäe, Arp Müller, Argo Ideon









