Small Country Sees Dramatic Growth In Defense Industry

Estonia’s defense industry has seen a dramatic boom in recent years, with a 350% growth since 2021. The country’s 138 defense companies are expected to see $842 million in sales revenue and $518 million in export turnover for 2025. This growth is linked to Russia’s invasion of Ukraine and Estonia’s geographical closeness to Russia, prompting the country to adapt its capabilities to new warfare threats. Estonian firms, such as Threod Systems and Milrem Robotics, are specializing in drones, counter-drone systems, and electronic warfare, with the UK contract for Threod’s Cata launchers being the latest example. This was first reported by Breaking Defense.