Overview
The domestic defense industry plays a key role in the comprehensive defense solution by maintaining critical weapon systems. Finland is the home for global market leaders in logistics, armored wheeled vehicles, and turreted mortar systems. Critical capabilities include command, control, and net-centric capabilities, intelligence, surveillance, target acquisition and reconnaissance capabilities, engagement, and protection. The cooperation with the military, defense industry, universities, and research institutions has resulted in know-how and technological resources. In addition, information and communication technologies in the Finnish industry have supplied innovative solutions for military needs. Other procurement-based partnerships have created extensive industrial capabilities in the modification, updating, and repair of foreign military equipment. In 2022, the Finnish Defense, aerospace, and security industry turnover was approximately 2.0 billion Euros, a slight increase from the previous year. The sector directly employed about 9,900 people. As the Finnish domestic market is relatively small, companies principally look abroad for customers and partners.
The war in Ukraine has led to the most substantial change in Finnish defense policy since WW II, with Finland becoming NATO’s 31st Ally on April 4, 2023. Finland maintains a high level of cooperation and interoperability with the Alliance and in 2023 will spend 2.4 percent of its GDP on defense. The bilateral relationship has further strengthened with the opening of Defense Cooperation Agreement negotiations and Finland’s USD 12 billion purchase of 64 Lockheed Martin F-35As, the first eight of which are scheduled for delivery in 2025. This sale is the largest national procurement in Finland’s history. On May 17, Finland announced it had joined the NATO Innovation Fund, with a USD 38 million (EUR 35 million) investment.
Resources
- Association of Finnish Defense and Aerospace Industries (AFDA)
- MinistryofDefense,
- The Finnish Defense Forces,
- European Defense Agency (EDA)
- The Finnish Budget: (in Finnish)
- Air Force’s F-35A fighter
Events
The Association of Finnish Defense and Aerospace Industries (AFDA) ‘SecD-Day Conference & Exhibition’ in Helsinki. The most recent event was organized February 8-9, 2023
Turku Airshow – June 17-18, 2023, is the main airshow event in Finland 2023, organized by Turku Flying Club with support from the Finnish Air Force.
Information
Interested parties may contact Commercial Specialist Riikka.Aho@trade.gov (local contact)