Latvia signs $105 million deal with US to acquire Naval Strike Missile system

Latvia signs $105 million deal with US to acquire Naval Strike Missile system

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Latvia has finalized a $105 million agreement with the U.S. to acquire the Naval Stike Missile (NSM) coastal defense system. The announcement was made jointly by Latvia’s Defense Minister Andris Spruds and the U.S. Ambassador to Latvia, Christopher Robinson.

The total cost of Latvia’s procurement project has been estimated at $105 million. The U.S. will provide financial support for the acquisition project, covering 70% of the total cost, while Latvia will cover the remaining 30% of the costs.

“We highly appreciate the contribution of the U.S. to our national security at a time when the world is facing various geopolitical challenges,” Latvia’s Defense Minister Andris Spruds said in his statement after finalizing the deal.

He added that the “Naval Strike Missile Coastal Defense Systems will expand the range of capabilities available to the National Armed Forces and will play an integral role in our national defense. It will enable us to protect our coastal area and the safety of shipping lanes.”

Spruds also noted that these systems will strengthen the NATO ally’s collective security and will be available for the collective defense of the NATO allies and partners whenever needed. The deliveries for the first NSM systems are expected to be made in 2027. 

The United States Ambassador to Latvia, Christopher Robinson, said that the agreement marks “an important milestone in the longstanding security cooperation between the United States and Latvia.” He noted that “Russia’s brutal aggression against Ukraine has shown that democratic countries need to stand together the guard of their sovereignty, values, and freedom. The United States is proud to support Latvia in building its defensive capabilities.”

Latvia's Defense Minister Andris Spruds and the U.S. Ambassador to Latvia Christopher Robinson
Latvia’s Defense Minister Andris Spruds and the U.S. Ambassador to Latvia Christopher Robinson shaking hands. (Image Credit: Twitter/@USEmbassyRiga)

In May 2023, the U.S. State Department approved Latvia’s request to purchase NSM systems. According to the U.S. Defense Security Cooperation Agency, the sale request included “tactical, telemetered, and training missiles, containers, mobile operational platforms, integration equipment, ordnance handling equipment, training equipment, and aids.”

In addition to the coastal defense equipment, Latvia had requested to procure High Mobility Artillery Rocket Systems, or HIMARS, aerial defense systems from the U.S. The sale request was approved and the deliveries were made earlier this year.


Latvia’s defense spending

Latvia, like many other European countries, is on course to strengthen its defense posture by increasing its military spending amid the ongoing Russia-Ukraine war. Soon after the Russian invasion of Ukraine, the Latvian parliament adopted amendments to the Law on Financing National Defense.

According to the Law, national defense spending will be gradually raised to 2.5% of the projected annual gross domestic product by 2025. Riga aims to spend more than $1.1 billion on military modernization programs this year. The amount accounts for 2.25% of Latvia’s annual GDP. Latvia’s military spending is much more than many of its fellow NATO member states.

Latvia is a part of the Joint Defense Initiative for the Baltic along with Estonia and Lithuania. It is the first line of defense for the NATO member states in the Baltic Sea.


Naval Strike Missile Coastal Defense System

The Naval Strike Missile Coastal Defense System is jointly produced by the U.S.-based Raytheon Systems and Norway’s Kongsberg Defense and Aerospace. It has a range of 185 kilometers and it is capable of multiple simultaneous over-the-horizon engagements.

Norwegian Kongsberg Defence company’s Naval Strike Missile. (Image Credit: Kongsberg)

Along with the U.S. and Norway, the primary producers of NSM, several countries are using Naval Strike Missiles for coastal defense. The list includes Poland, Romania, Germany, Spain, the United Kingdom, the Netherlands, Malaysia, Australia, and Canada.

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