Defence and security industrial strategy

As regards military security of supply, the domestic defence industry is of vital importance to the Defence Forces. It is essential to guarantee domestic integration and maintenance capacities as well as crisis repair expertise. However, the Defence Forces alone cannot sustain the domestic defence industry. Therefore, specific action and, consequently, a national industrial strategy are required.

If the domestic defence and security industry intends to thrive, it must be able to reshape itself as required, invest in R&D and become more internationalized. In addition to niche expertise, companies must be able to pool their skills into an internationally competitive network of capabilities.

The defence materiel sector is in flux. Very few companies will be able to rely on the domestic market in the future. Successful companies establish themselves internationally and seek growth from new business and services. Along with the traditional defence industry, the new security market (homeland security) is growing and providing new opportunities.

One of the most important challenges for the Defence Forces is to balance tasks and resources. No sizeable defence materiel appropriation increases are in sight. Therefore, defence capabilities must be improved by enabling their flexible use in the execution of the Defence Forces' three main tasks: Military defence, supporting other authorities and international crisis management.
The vision of the Strategy is 'The Finnish defence and security industry is specialized, competitive and networked in the international market. It contributes to security, national and international military capabilities as well as security of supply'.

In order to achieve the Vision and the goals of the Strategy, the capacities and operational preconditions of the domestic industry must be improved. Moreover, the Strategy outlines several near-term measures to achieve these goals. Through cooperation, the public sector and industry jointly implement the Strategy.

The Defence Forces and industry must commit to shared long-term planning in order to improve industrial capacities. Instead of concentrating on production figures, they must strive for competence-based industrial expertise.

The most important measures for improving the operational preconditions of the industry require more precise information on the requirements and strategic plans of the Defence Forces. Furthermore, centres of excellence (Defence Technology Centres) have to be defined and established. The exploitation of industrial collaboration as well as cooperation between the Defence Forces and the defence industry must also be improved.

The Ministry of Defence is responsible for implementing this Strategy. The defence and security industry, for its part, executes the Strategy. This Strategy is a subset of the Materiel Policy Strategy of the Ministry of Defence. It will be reviewed approximately once every four years.

Defence and security industrial strategy (pdf) (85.5 KB)