Croatia’s Defense Industry Launches European Offensive

Croatia’s defense industry, comprising around 100 companies and 3,000 employees, generates over €600 million annually. A new agreement with state institutions aims to boost exports, visibility, and integration into Europe’s defense supply chains.

Croatia’s Defense Industry Launches European Offensive
Photo by Daniel Wirtz

ZAGREB — Croatia’s defense industry is set to receive financial and organizational backing from the state, the Croatian Chamber of Economy (HGK), and the state-owned defense company ALAN, under a newly signed cooperation agreement designed to boost the sector’s presence at major European defense exhibitions.

The agreement, signed in Zagreb by Deputy Prime Minister and Defense Minister Ivan Anušić, Economy Minister Ante Šušnjar, HGK President Luka Burilović, and ALAN CEO Goran Basarac, outlines a two-year plan for Croatian companies to appear jointly at leading European fairs including Enforce Tac in Nuremberg, Eurosatory, and Milipol in Paris.

By presenting as a national defense cluster, Croatia aims to strengthen its visibility, improve market positioning, and attract new partnerships within the EU and NATO defense ecosystem.

According to official figures, Croatia’s defense industry brings together around 100 business entities, employs about 3,000 people, and generates roughly €600 million in annual revenue, including €167 million in exports. Croatian manufacturers produce weapons, equipment, and systems recognized by European and NATO partners, and are increasingly active in developing dual-use technologies serving both civilian and military purposes.

The HGK Defense Industry Association, with 60 member companies, has so far been the primary supporter of Croatian exhibitors at international trade fairs. The newly signed agreement institutionalizes this support and introduces state-level coordination for industry promotion abroad.

“This agreement is crucial given the complex geopolitical situation in Europe and globally. Strengthening the domestic defense industry is one of our ministry’s top priorities,” said Defense Minister Ivan Anušić, as quoted by Jutarnji list.
“International defense fairs are opportunities for Croatian companies to gain visibility, secure new contracts, and increase competitiveness.”

Economy Minister Ante Šušnjar emphasized the economic benefits:

“A unified national appearance enhances the recognition of our producers and brings long-term business results. Croatia’s defense industry shows that knowledge and quality can be our strongest export products.”

ALAN CEO Goran Basarac added that, as Croatia’s key state company for the trade of arms and defense equipment, ALAN “fully supports the initiative to expand international visibility and competitiveness of Croatian defense products through all available industrial associations and networks.”

The agreement also establishes a Joint Committee to plan and oversee all activities related to international exhibitions.

In the current geopolitical climate, investments in the defense sector are taking on renewed importance. The European Commission’s “Rearm Europe” plan allocates €800 billion to strengthening Europe’s defense capacities, including the SAFE instrument worth €150 billion dedicated to reinforcing the continent’s defense industrial base.