BAKU, Azerbaijan, June 25. Lithuania has taken a major step toward strengthening its national defense industry by signing a memorandum of understanding with U.S. defense technology leader Northrop Grumman and Norwegian ammunition manufacturer Nammo, Trend reports.
The agreement, signed by the Ministries of National Defense and Finance, outlines plans to expand medium-caliber ammunition production at the state-owned Giraitė Munitions Factory.
The partnership aims to accelerate negotiations with the U.S. and Norwegian companies to establish a new production facility in Lithuania dedicated to manufacturing 20–50 mm caliber ammunition for the Lithuanian Armed Forces.
“This agreement is a critical step toward building a national division by 2030 and enhancing the capabilities of our armed forces,” said Minister of National Defense Dovilė Šakalienė. “It strengthens Lithuania’s strategic autonomy in defense and deepens our partnership with NATO allies, the United States and Norway. The planned ammunition is vital not only for Lithuania’s military but also for our allies.”
The project will be implemented in cooperation with Giraitė Munitions Factory, with a focus on prioritizing the needs of the Lithuanian Armed Forces. In response to growing national defense requirements, the produced ammunition will primarily serve domestic needs, ensuring an uninterrupted supply chain.
“Our allies’ investments from the U.S. and Norway, combined with their expertise, will significantly contribute to reinforcing both Lithuania’s and the region’s defense industrial base,” noted Minister of Finance Rimantas Šadžius. “This is not an area where we can afford to wait — defense production and industrial development must happen now.”
Loreta Maskaliovienė, Vice Minister of National Defense, emphasized the long-term importance of this initiative:
“By strengthening our defense industry, we are investing not only in advanced technology but also in Lithuania’s resilience. This agreement enhances our military readiness and positions Lithuania as a key link in international supply chains.”
According to the agreement, Northrop Grumman and Nammo will provide 35 mm ammunition production technologies, specialized equipment, and expert training to Giraitė Munitions Factory. Once integrated, the factory will produce NATO-compatible ammunition aligned with the technical specifications of the Lithuanian Armed Forces, ensuring full operational interoperability.
In the broader scope of the project, Giraitė will be integrated into Northrop Grumman’s international supply chains, with the U.S. company also facilitating the export of Lithuania-produced ammunition to global markets. Nammo, one of Europe and North America’s leading ammunition manufacturers with facilities in nine countries, will act as a subcontractor, providing the core 35 mm ammunition manufacturing technologies.
This memorandum replaces a previous cooperation agreement signed on September 23, 2024, between the same parties.
Giraitė Munitions Factory, fully owned by the Lithuanian government and overseen by the Ministry of Finance, has been producing high-quality ammunition for over 20 years and holds a strong reputation internationally.
“This collaboration reflects Northrop Grumman’s commitment to strengthening global partnerships and enhancing NATO’s defense capabilities,” said Stephen O’Bryan, Vice President of Global Business Development at Northrop Grumman. “It will accelerate delivery on critical defense needs and bring lasting value to both the U.S. and Lithuanian defense industries.”
“Nammo is proud to support this initiative. Together with Lithuania and Northrop Grumman, we aim to strengthen the regional defense base and ensure reliable ammunition supplies for our allies,” added Morten Brandtzæg, CEO of Nammo Defense Systems.
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