Expert: Redirection of defense funding could boost domestic industry
The Ministry of Defense's decision to redirect funds intended for renewing the fleet of combat vehicles into future capabilities is sensible, an expert says. What matters most is that the money actually reaches the sector.
Last week, the Estonian government decided to halt a €500 million procurement program for new combat vehicles and redirect the funds toward air defense, drones and unmanned systems.
Estonia's infantry fighting vehicles still have service life left, Minister of Defense Hanno Pevkur (Reform) said. Instead of buying new ones, the focus should be on developing the ability to see far, strike there, and protect against threats coming from that direction.
"We are talking about the years 2028–2031, when new combat vehicles were supposed to gradually start arriving. Above all, we must focus on situational awareness, but likely also on firepower, mobility, and the mobility and flexibility of the Defense Forces and its units," he told ETVs "Aktuaalne kaamera".
Former Ministry of Defense undersecretary Meelis Oidsalu said the government was forced to make changes after several drone-related incidents.
What matters is how many millions the soon-to-be-published national defense development plan will actually allocate to new developments, Oidsalu noted.
"The lifecycle upgrade of the existing infantry fighting vehicles will have to be carried out anyway. And that will consume a large portion of the planned sum. After that, journalists should also ask how much of it will actually go to drone defense," he said.
The decision could have a positive impact on the local defense industry. Products from Estonian companies are being used in Ukraine, and some production is also taking place there. Solutions proven in Ukraine could be brought to Estonia.
"I believe this is ultimately the right decision and will bring more new momentum and development to Estonia's defense industry than those infantry fighting vehicle defense industry deals would have," Oidsalu said.
"Estonian defense industry players who are at all active in this field are in fact already testing and partly developing their products in Ukraine. There are also joint ventures," he added.
A prerequisite is the integration of this expertise into Defense Forces training, as well as a decision on what kind of strike capability to develop. For example, Ukraine's unmanned vehicles have hindered Russian naval operations in the Black Sea.
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Editor: Helen Wright, Marko Tooming
