Lithuania Advances Local Production of Ukrainian Drones

Lithuania is moving to localize production of Ukrainian-designed drones under a bilateral Drone Deal, deepening defense-industrial cooperation through technology transfer and joint manufacturing while strengthening NATO's eastern flank.

Lithuanian President Gitanas Nausėda (left) and Ukrainian President Volodymyr Zelenskyy exchange signed Drone Deal agreement at the Bucharest Nine Summit, 13 May 2026
Photo: Lithuanian President Gitanas Nausėda (left) and Ukrainian President Volodymyr Zelenskyy exchange signed Drone Deal agreement at the Bucharest Nine Summit, 13 May 2026. Photo credit: president.gov.ua

Lithuania is moving ahead with plans to localize production of Ukrainian-designed drones, expanding bilateral defense-industrial cooperation under the Drone Deal framework signed earlier this year. The initiative will bring Ukrainian unmanned systems technology to Lithuanian production facilities through technology transfer and joint manufacturing, reflecting a broader European effort to scale up combat-proven drone capabilities. 

The project forms part of a reciprocal defense cooperation agreement signed by Lithuanian President Gitanas Nausėda and Ukrainian President Volodymyr Zelenskyy in May. The agreement covers joint development of unmanned systems, air and missile defense cooperation, and industrial collaboration between defense companies in both countries. 

Lithuania to manufacture multiple classes of Ukrainian drones

The bilateral agreement provides for the localization of several categories of Ukrainian drones in Lithuania, including long-range strike, naval, interceptor, and bomber unmanned systems.

The arrangement combines Ukrainian battlefield experience with Lithuania's industrial capacity, enabling joint production while expanding manufacturing outside Ukraine. Ukrainian specialists are also expected to support capability development and share operational expertise with Lithuanian partners. 

The initiative reflects a growing trend across Europe, where governments are increasingly seeking access to Ukrainian technologies that have been refined under combat conditions.

Expanding Lithuania's defense industrial base

The drone production program builds on Lithuania's broader investment in its domestic defense industry.

Earlier this year, Vilnius announced an additional €223 million military assistance package for Ukraine focused on air defense, drones, and long-range ammunition. Lithuania also allocated funding for the production of long-range strike drones for the Ukrainian Armed Forces as part of its strategy to strengthen Ukraine's defense-industrial capacity. 

By combining direct military assistance with industrial cooperation, Lithuania is seeking to reinforce both Ukraine's wartime production and its own long-term defense manufacturing capabilities.

Part of Europe's emerging drone ecosystem

Lithuania's initiative aligns with wider European efforts to integrate Ukraine's defense industry into the continent's industrial base.

In July, the European Union launched the EU-Ukraine Defence Industrial Partnership and the EU-Ukraine Drone Deal to accelerate joint production of drones and counter-drone systems across member states. The framework aims to connect Ukrainian battlefield innovation with European manufacturing capacity, supporting joint ventures, technology transfer, and expanded industrial output. 

Lithuania is among the first EU members to move from political agreements toward localized production, positioning itself as an early participant in the emerging European drone manufacturing network.

Strategic implications for the Baltic region

For Lithuania, localized drone production offers benefits beyond supporting Ukraine.

Establishing domestic manufacturing capacity improves security of supply, reduces dependence on external production, and strengthens NATO's eastern flank with access to rapidly evolving unmanned technologies. The initiative also provides opportunities for Lithuanian industry to participate in future European collaborative defense programs as demand for drones and counter-drone systems continues to grow.


Q&A

What drones will Lithuania produce?

The bilateral agreement covers localized production of Ukrainian long-range strike, naval, interceptor, and bomber drones through joint manufacturing and technology transfer. 

Why is Lithuania manufacturing Ukrainian drones?

Lithuania aims to strengthen its defense industrial base, improve access to combat-proven unmanned systems, and support Ukraine through long-term industrial cooperation.

What is the Drone Deal?

The Drone Deal is a bilateral framework that enables joint defense production, technology transfer, and broader cooperation between Ukraine and partner countries. Lithuania signed its agreement with Ukraine in May 2026. 

How does this fit into European defense policy?

The initiative complements the EU-Ukraine Defence Industrial Partnership and Drone Deal, which seek to integrate Ukrainian defense innovation with European industrial production and expand drone manufacturing across the European Union.