Estonian and Danish companies are seeking joint development projects, technology partnerships and access to new markets after a Danish industry delegation visited Tallinn in October and the two countries’ industry associations signed a defence cooperation memorandum.
The visit, reported by Enterprise Estonia, brought together companies, industry associations and public institutions from both countries to discuss growth, procurement, supply security and partnerships between individual businesses.
Time is the industry’s scarcest resource
The Tallinn seminar was opened by Kim Højlund Christensen, the Danish ambassador to Estonia; Elmar Vaher, director general of the Estonian Centre for Defence Investment; and Peter Michael Nielsen, head of the development department at the Danish Ministry of Defence’s Acquisition and Logistics Organisation (DALO) and acting Danish Director of Armaments.
Speakers said that in Europe’s changed security environment, companies’ ability to keep their commitments, secure deliveries and keep innovating is decisive. Vaher highlighted delivery capability, while Nielsen stressed the need to continue developing new solutions.
“The most critical resource is time,” said Kalev Koidumäe, chief executive of the Estonian Defence and Aerospace Industry Association.
Koidumäe said international success depends on home-country backing for a company’s products and services and, where possible, on practical experience in the field, with experience gained in Ukraine now particularly valuable in demonstrating that defence technology works in real conditions. Dustin Wilden, chief executive of the Danish defence, space and security cluster CenSec, named excessive bureaucracy as a main obstacle and called for more flexible product development and testing.
Joachim Finkielman, who heads the defence and security industry association at the Danish confederation Dansk Industri, stressed the competitiveness and security of supply of Europe’s industry. The discussion also covered strengthening supply chains within Europe and widening local companies’ access to procurement.
Military revenue at Danish members nearly tripled in two years
The Danish market is a natural fit for Estonian defence companies because businesses in both countries work in similar technology fields, so opportunities often lie in complementing each other’s solutions, joint development and cooperation in third markets.
DI Danish Defence and Security Industries has about 350 member companies. The association reports that its members’ revenue from purely military products and services grew from €481M in 2022 to about €1.27B in 2024.
Nicolai Andersen of DALO presented Danish long-term procurement plans and the country’s expectations of suppliers. Priorities include drone and counter-drone technology, air and unmanned systems, communications and command solutions, artificial intelligence applications, maritime surveillance and critical infrastructure protection.
Entering that market takes more than technology, however: procurement also weighs supply reliability, production volume, and the ability to provide long-term service and maintenance. Companies are expected to know their own supply chains and to be ready to cooperate with other manufacturers, which for Estonian firms can mean joining larger projects as subcontractors or technology partners.
Defence cooperation moves from contacts to agreements
Fifteen Estonian companies took part in August’s DALO Industry Days in Herning, presenting Estonian solutions and building contacts with Danish companies and public institutions. Cooperation already exists in several fields: DefSecIntel works with Danish radar manufacturer Weibel on counter-drone solutions, and Cybernetica works with Danish company Terma.
At the Tallinn seminar, Koidumäe and Finkielman signed a memorandum of cooperation to strengthen ties between the two countries’ defence industries and create further opportunities for companies.
The second half of the day was given to bilateral business meetings on defence, dual-use technology, cyber defence and critical infrastructure protection. The following day the Danish delegation visited Estonian defence companies, including Milrem Robotics, Krattworks, 5.0 Robotics, CybExer, DefSecIntel Solutions, Marduk, Rantelon and Maru Defence, to see production capability at first hand and discuss possible joint projects.
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