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Smarter, not bigger: Estonia drives the future of regional defence technology at Defence Week

Kalev Koidumäe, CEO of the Estonian Defence and Aerospace Industry Association, addressing the event. Photo: Andres Raudjalg

Estonia’s defence industry stands out, and for good reason – while we cannot compete with major countries in mass production, we excel at making traditional warfare tools smarter. This is a skill highly valued worldwide. Testament to this is Defence Industry Week, covering the entire Estonian and regional sector, held right here on Europe’s eastern border.

The aim of the Defence Week, which will take place simultaneously at Tallinn’s Kultuurikatel Creative Hub and Tartu Ülenurme Airport from the 22nd to 26th of September 2025, is to introduce defence industry companies of Estonia and its neighbouring countries and the products and technologies they are developing. The focus is on developing cooperation, establishing investor relations, and having discussions on defence industry and security policy with the participation of domestic and international experts.

Defence week focuses on high-tech solutions 

The Estonian defence sector has grown significantly in recent years. In 2024, the industry reached a turnover of approximately €500 million, with 350 million coming from exports – this represents an annual growth of 30%. The sector now comprises around 170 companies, with nearly 20 new entrants joining over the past year.

Join us at Estonian Defence Week (EDW) in Tallinn – a five days premier international business and inspiration event, dedicated to advancing Estonia’s defence and space industries and defence policies. The Defence Week will take place simultaneously at Tallinn’s Kultuurikatel Creative Hub and Tartu Ülenurme Airport from the 22nd to 26th of September 2025.

What makes Estonia’s defence industry unique is its focus on high-tech solutions rather than conventional weaponry. “We will never manufacture tanks, but we can make them smarter. If someone else provides the steel, we will add the intelligence,” explains Kalev Koidumäe, CEO of the Estonian Defence and Aerospace Industry Association. This approach has proven successful – Estonian companies now export to at least 10 NATO countries, with exports accounting for 70% of the sector’s revenue.

Defence sector has grown significantly

“With NATO countries increasing their defence spending – global defence expenditure grew by 6.8% in 2023 and by an additional 7.4% in 2024 – Estonia has positioned itself as a centre for defence industry innovation and production,” says Koidumäe.

“We will never manufacture tanks, but we can make them smarter. If someone else provides the steel, we will add the intelligence.”
Kalev Koidumäe, CEO of the Estonian Defence and Aerospace Industry Association

He emphasises that if Estonia is serious about developing its defence industry, it is crucial to showcase its products domestically. “Estonian Defence Week enhances Estonia’s visibility on the international stage and reinforces the perception that we are a reliable and credible partner, bringing experts from around the world under one roof each year to drive the development of the defence industry not only in Estonia and the region but globally.”

The war in Ukraine has served both as a catalyst and a testing ground for Estonian defence technology. More than 10 Estonian defence industry companies are currently operating in Ukraine, providing solutions ranging from sensors and surveillance equipment to unmanned platforms, counter-drone systems, field hospitals, and training. “The battlefield in Ukraine is the moment of truth, revealing which technologies actually work,” notes Koidumäe.

This content is funded by the European Union – NextGenerationEU.

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