Germany to Expand Defence Industrial Cooperation with Baltic States

Berlin — German Chancellor Friedrich Merz has announced plans to strengthen defence industrial cooperation with Latvia, Estonia and Lithuania.

Speaking at a joint press conference following a meeting with the leaders of the three Baltic States in Berlin on Friday, Merz said security in the Baltic region was directly linked to the security of Germany and Europe as a whole.

He said European countries must assume greater responsibility for their own security and give NATO a stronger European dimension.

“We want to make NATO more European so that it can remain transatlantic,” Merz said.

According to the chancellor, European countries are significantly increasing investment in defence budgets, military capabilities and defence industrial production in response to current security challenges.

He said Germany and the Baltic States would expand cooperation in areas including defence production, technology, supply chains and the development of military capabilities.

Merz noted that Latvia, Estonia and Lithuania had already exceeded the NATO target of spending at least 3.5 percent of gross domestic product on core defence requirements.

He said Germany planned to raise its core defence expenditure to 3.5 percent of GDP by 2029.

At the NATO summit held in The Hague in 2025, member states agreed to work towards spending five percent of GDP on defence and security-related areas by 2035. The target includes at least 3.5 percent for core military requirements and an additional 1.5 percent for security infrastructure, civil preparedness, resilience and the defence industry.

Merz said the security of the Baltic States affected not only the stability of NATO’s eastern region but also the broader security environment of Germany and Europe.

The meeting focused on expanding defence industrial production, increasing Europe’s responsibility within NATO, strengthening military capabilities and enhancing regional security cooperation.