Czech Defense Exports Hit Record €4.67 Billion in 2025

Czech defense exports reached a record €4.67 billion in 2025, more than seven times their 2021 level, as foreign demand continued to drive expansion across the Czech Republic's defense-industrial base. The Czech Chamber of Commerce reported the results on August 13, 2026, while warning that further growth will increasingly depend on proprietary technologies and higher-value systems rather than simply expanding output of existing products.

Realized exports of military materiel reached approximately €4.56 billion in 2025. When sales and transfers within the European Union and exports conducted under brokering licenses are included, total realized Czech defense exports reached €4.67 billion.

The Czech Ministry of Industry and Trade issued 1,895 military export licenses covering 98 countries during 2025, with a combined value equivalent to approximately €5.59 billion. Actual military materiel exports reached 96 countries.

Euro conversions for 2025 figures use the Czech National Bank annual average exchange rate of CZK 24.693 per euro.

Czech defense exports have risen more than sevenfold since 2021

The scale of the expansion becomes clearer against the prewar baseline. Total realized exports stood at CZK 15.2 billion in 2021 before rising to CZK 94 billion in 2024 and CZK 115.4 billion in 2025.

Using the respective Czech National Bank annual average exchange rates, those figures correspond to approximately €593 million in 2021, €3.74 billion in 2024 and €4.67 billion in 2025. Because exchange rates changed over the period, the underlying Czech koruna figures provide the more accurate measure of the industry's growth, which exceeded sevenfold over four years.

Approximately 90 percent of production by Czech defense companies goes to foreign markets, according to the Defense Industry Section of the Czech Chamber of Commerce. That export exposure makes international demand central to both current production levels and future investment decisions.

The figures also indicate that the industry's expansion continued beyond the initial increase in European defense demand following Russia's full-scale invasion of Ukraine. Czech defense exports rose from €3.74 billion in 2024 to €4.67 billion in 2025.

Ammunition capacity is becoming a constraint on further growth

The Czech Chamber of Commerce identified production capacity as an emerging limitation, particularly in the chemical and ammunition industries. The organization indicated that further expansion cannot depend solely on producing larger quantities of existing products.

This constraint is particularly relevant to ammunition manufacturing, where finished-product output depends on upstream supplies of explosives, propellants and other chemical inputs. Expanding capacity therefore requires investment across a wider industrial supply chain rather than only additional final assembly capacity.

For Czech manufacturers, this changes the economics of the next phase of expansion. Once physical production capacity becomes harder or more expensive to increase, proprietary technologies and higher-value systems offer another route to increasing defense-sector revenues.

Czech industry targets drones, sensors and autonomous systems

The Czech Chamber of Commerce identified ammunition, radar and sensor technologies, unmanned systems, counter-unmanned aircraft systems, artificial intelligence, autonomous systems, cybersecurity, advanced electronics and software as areas with further export potential. Czech companies already possess technologies, experience or production capacity in many of these segments.

The proposed transition centers on increasing the share of Czech-developed intellectual property and strengthening domestic defense research and development. The objective is to move beyond volume growth toward products in which Czech companies control more of the underlying technology.

That shift could also change the position of Czech manufacturers within European defense supply chains. Companies that own critical technologies or integrate complete systems can capture a different part of program value than businesses focused primarily on component manufacturing.

The Czech Republic has an industrial base that could support this transition. Its automotive and engineering sectors have capabilities in precision manufacturing, automation, robotics, electronics, software development and management of complex supply chains that can transfer into defense production.

European defense programs offer the next route to expansion

Participation in European defense programs and multinational industrial consortia will become increasingly important as governments expand defense procurement and seek greater European production capacity.

The Czech Chamber of Commerce identified system integration and participation as an equal industrial partner in higher-value European projects as priorities for the sector. The longer-term objective is therefore not simply to increase exports of individual components, but to strengthen the position of Czech companies within complete defense programs.

This distinction matters as Europe increases defense investment. A manufacturer supplying individual components can benefit from higher procurement volumes, but companies controlling intellectual property, critical subsystems or system integration can establish more durable positions in multinational programs.

For the Czech Republic, the €4.67 billion export record therefore represents both an industrial milestone and a test of the sector's next development phase. Continued growth will increasingly depend on whether manufacturers can turn expanded production capacity and export relationships into proprietary technologies, system integration capabilities and stronger positions within European defense programs.

Czech defense exports: key questions

How much did the Czech Republic export in defense products in 2025?

Total realized Czech defense exports reached approximately €4.67 billion in 2025, based on the Czech National Bank's annual average exchange rate. Realized exports of military materiel alone totaled approximately €4.56 billion.

How quickly have Czech defense exports grown?

In Czech koruna terms, total realized defense exports increased from CZK 15.2 billion in 2021 to CZK 94 billion in 2024 and CZK 115.4 billion in 2025. That represents an increase of more than sevenfold in four years.

How many countries buy Czech military equipment?

The Czech Ministry of Industry and Trade issued 1,895 export licenses covering 98 countries in 2025. Realized exports of military materiel ultimately reached 96 countries.

Which Czech defense technologies have the strongest growth potential?

The Czech Chamber of Commerce identified ammunition, radar and sensor systems, unmanned and counter-unmanned technologies, artificial intelligence, autonomous systems, cybersecurity, advanced electronics and software as areas with further export potential.