The State Defense Corporation operated with a profit of 135,700 euros 0 13

The management report of the State Defense Corporation states that in 2025, the company continued its rapid development, practical construction of the factory under the "ROLLO" project ("Production for the assembly of modular powder charges for artillery ammunition") began, and new potential projects were being studied and prepared, while management was being improved.

The work of the State Defense Corporation was mainly carried out in areas related to research and project preparation for the production of large and medium-caliber ammunition, explosives, and counter-mobility solutions in Latvia.

As part of the implementation of the "ROLLO" project, coordination and preparation of processes related to construction were ensured last year, procurement of necessary equipment and raw materials was initiated, document development was underway, and coordination of other processes related to construction and production launch was conducted. In 2025, the "ROLLO" production was assigned the status of production of significant importance for national defense.

According to the project plan approved by the European Commission, the construction of the factory is planned to be completed by mid-2026, with production starting in the third quarter.

The management report states that last year, the State Defense Corporation prepared and submitted several project proposals to the Ministry of Defense for industrialization, taking into account the critical needs of the National Armed Forces (NAF), as well as the priorities defined in the National Defense Concept and the long-term development plan of the National Armed Forces (NAF) for 2025-2036, in accordance with its competence and considering the possibility of cooperation in international formats, including with the Ukrainian industry.

Last year, a memorandum was prepared and signed with "Rheinmetall" regarding the potential establishment of a factory for the production of artillery ammunition, and preparatory work was conducted for signing a memorandum with "Dynamit Nobel Defence GmbH" for the establishment of production of anti-tank mines.

Currently, practical work is underway to launch industrialization projects, the management report of the State Defense Corporation states.

At the same time, the company studied the experience of other countries, developed proposals, and prepared a model for involving merchants in creating critically important reserves for the needs of the NAF, as well as familiarized itself with international experience in testing military and dual-use products.

In its first year of operation, which lasted from November 29, 2023, to December 31, 2024, the State Defense Corporation operated at a loss of 460,904 euros and did not generate revenue from its core activities.

The State Defense Corporation was established in November 2023 for the long-term development of the military industry in Latvia in areas where the local industry lacks production capacity. The company is part of the military industry ecosystem in Latvia.

The overall strategic goal of the State Defense Corporation is to manage investments in the state defense industry and coordinate processes related to the development of military goods production, ensuring the construction of production facilities and actual production, as well as providing support for the supply of the National Armed Forces, the development of the state defense industry, and the continuity of its supply chains. Additionally, the corporation's task is to implement and facilitate the attraction and utilization of international funding, establish national and cross-border cooperation, and create critically important reserves for the defense sector.