> ## Content Index > Fetch the complete content index at: https://www.adriadefense.com/llms.txt > Use this file to discover other available public pages before exploring further. # Lithuania Invests €33.6M in Second Small-Caliber Ammo Line - URL: https://www.adriadefense.com/lithuania-invests-eur33-6m-in-second-small-caliber-ammo-line/ - Published: 2026-08-28T06:00:13.000Z - Updated: 2026-08-28T06:00:12.000Z - Description: Lithuania’s Giraitė Armament Plant is investing €33.6 million in a second small-caliber ammunition line, with production planned for Q3 2027. - Author: AdriaDefense Desk - Tags: Lithuania, Ammunition, Baltic States, Defense Industry, CEE Lithuania’s state-owned Giraitė Armament Plant is investing €33.6 million in a second small-caliber ammunition production line, expanding domestic capacity as the country builds a broader ammunition manufacturing base. Construction and installation are expected to be completed in the third quarter of 2027, when the new line is scheduled to enter operation. The €33.6 million project represents an increase from an earlier estimate of approximately €26 million. Giraitė Armament Plant, known locally as Giraitės Ginkluotės Gamykla, is the only ammunition manufacturer in the Baltic states and currently exports around 70% of its production. ## Giraitė raises second ammunition line investment to €33.6 million The expansion includes a €11.39 million construction contract awarded to Lithuanian construction company Binkauskas ir Stašinskas. Equipment for the second production line will come from manufacturers in Germany, Italy and France, according to information provided by Giraitė chief executive Mindaugas Kurauskas to Lithuanian news agency BNS. The project will also expand the plant’s production and storage infrastructure. Environmental assessment documents cited by BNS indicate that the facilities are planned to grow from approximately 5,500 square meters to 7,900 square meters, alongside a new hazardous waste area, upgraded water treatment infrastructure and additional fire protection reservoirs. The expansion was approved in 2022-2023 and is intended to increase both the volume and range of small-caliber ammunition produced at the facility. The company has linked the additional capacity to its export strategy, with foreign customers already accounting for the majority of output. The investment also follows a €25.2 million state capital injection announced in November 2025, which increased Giraitė’s authorized capital to €47.5 million. Lithuania owns 100% of the company through the Ministry of Finance. ## Lithuania is expanding more than production volume The second line forms part of a broader modernization program at Giraitė rather than a standalone capacity increase. In January 2026, the plant introduced advanced ammunition inspection and belt-linking systems. New presses for military and sniper bullets and lead-core forming followed in March, allowing Giraitė to bring additional manufacturing stages in-house. The company added another product category in June when it began producing counter-drone ammunition intended for standard 5.56 mm and 7.62 mm NATO weapons. Trial batches were sent to Sweden and France, while Lithuanian forces completed testing in June. The expansion therefore combines additional output with greater control over the production chain and a broader product portfolio. That distinction matters as European ammunition manufacturers work to increase capacity while reducing exposure to supply-chain bottlenecks. ## Giraitė sits inside Lithuania’s wider ammunition buildup The second small-caliber line is one part of a larger Lithuanian effort to establish domestic manufacturing across several ammunition categories. Lithuania has separately been working with US defense company Northrop Grumman and Norwegian ammunition manufacturer Nammo on medium-caliber ammunition production at Giraitė. A June 2025 memorandum covered the transfer of technology, equipment and expertise for 35 mm ammunition production, with plans to integrate the Lithuanian facility into Northrop Grumman’s international supply chain. The government has also discussed a combined 30 mm and 35 mm production capability at the site. That project is separate from the €33.6 million second small-caliber ammunition line now entering construction. The distinction illustrates the scale of Lithuania’s ammunition strategy. Giraitė is expanding small-caliber production and pursuing medium-caliber manufacturing, while other projects are targeting artillery ammunition and additional defense-industrial capacity. Earlier in August, AdriaDefense reported that Ukrainian company DEMZ plans to establish ammunition production in Lithuania. The country is also developing the Rheinmetall Defence Lietuva facility at Baisogala for 155 mm artillery ammunition. Taken together, the projects are creating production capacity across multiple ammunition categories rather than concentrating Lithuania’s industrial expansion around a single caliber or manufacturer. ## When will Giraitė’s second ammunition line start production? Giraitė Armament Plant plans to complete construction and launch its second small-caliber ammunition production line in the third quarter of 2027\. The total project is valued at €33.6 million, up from an earlier estimate of approximately €26 million. ## What ammunition does Giraitė Armament Plant produce? Giraitė manufactures small-caliber ammunition and has expanded its ability to produce military and sniper bullets and lead cores internally. In 2026, the company also began producing counter-drone ammunition for standard 5.56 mm and 7.62 mm NATO weapons. ## Is Lithuania planning to produce medium-caliber ammunition? Yes. Lithuania has a separate cooperation program with Northrop Grumman and Nammo covering domestic medium-caliber ammunition production. The June 2025 agreement envisaged transferring technology and equipment for 35 mm ammunition manufacturing to Giraitė. ## Why is Lithuania expanding ammunition production? Lithuania is building domestic ammunition capacity across small, medium and large calibers as part of a broader effort to strengthen supply security and its national defense-industrial base. Giraitė’s expansion sits alongside planned medium-caliber production and other ammunition investments, including the Rheinmetall-led 155 mm project and planned Ukrainian manufacturing activity in Lithuania.