Latvia Defense Market Data 2026-2035

Latvia Defense Market Data 2026-2035

Summary

Stay ahead in the aerospace and defense market with an interactive, Excel-based country intelligence workbook from the analyst. This ready-to-use workbook features intuitive pivots and dashboards that allow users to analyze defense spending, procurement programs, platform inventories, and market trends across key segments within Latvia. Easily slice and filter data, explore historical patterns and long-term forecasts, benchmark suppliers, and support strategic planning with transparent, analyst-curated insights through 2035.

Latvia Defense Market Data report provides:

Defense Budget Allocations: The interactive excel sheet allows the user to analyze total defense expenditure with flexible filters across major budget heads, including Acquisitions, RDT&E, Infrastructure, Personnel, Operations and Maintenance (O&M), and Other expenditures. Users can further enhance analysis by viewing contextual indicators such as exchange rates, real and nominal GDP, population, defense spending as a percentage of GDP, and defense budget per capita.

Defense Program Forecasts: The interactive Excel sheet allows the user to explore forecast spending across defense sectors and sub-sectors, with the ability to drill down to individual programs and suppliers. Interactive filters enable users to assess funding priorities, program pipelines, and supplier exposure within the country’s defense ecosystem.

Fleet Size: The interactive excel sheet allows the user to evaluate current and future equipment inventories by filtering data on equipment variants, acquisition timelines, current unit counts, annual fleet maintenance costs, manufacturers, and countries of origin. The workbook also provides forward-looking indicators such as projected retirement years, replacement probabilities, and service life extension likelihoods, offering clear visibility into modernization and replacement opportunities.

Two interactive visualization sheets with charts and graphs provide expert insights, enabling users to explore quantitative trends within the selected aerospace and defense market. The visualization sheets are supported by detailed underlying datasets covering Defense Budget Allocations, Fleet Size and Platform Analysis, and Defense Program Forecasts

In 2026, the Latvian government allocated $2.5 billion to its defense budget, representing a compound annual growth rate (CAGR) of 30.1% from 2022 to 2026. The government's budget document provides its own forecast through 2028. Latvia's defense budget is projected to expand at a CAGR of 10.2% during the forecast period, reaching $3.9 billion by 2031. This growth in defense expenditure is expected to be driven by increased investments in acquisition and RDT&E programs to upgrade Latvia's fleet. Additionally, Latvia's reintroduced conscription is driving significant growth in personnel spending, in line with targets to produce a military force of 61,000 personnel. Emphasis is also being placed on developing key infrastructure to support joint NATO operations, as Latvia regards the alliance as central to its national security in light of perceived Russian threats.

Latvia's Long-Term Development of the National Armed Forces 2025-2036 White Paper, following the 2023 State Defence Concept, underscores a focused response to regional security threats, notably perceived Russian aggression following Russia's full-scale invasion of Ukraine in 2022 and hybrid warfare. In addition to conscription, Latvia is pursuing various procurement and modernization initiatives to develop and expand its armed forces. Latvia has prioritized land capabilities, focusing on the development of a light mechanized infantry force with lean naval and air capabilities, relying on cooperation with NATO and regional partners to supplement these assets. The Latvian government is maintaining a renewed emphasis on the land domain, including the procurement of missile systems such as the IRIS-T SLM, ASCOD infantry fighting vehicles, and the domestic collaborative development of the Common Armored Vehicle System (CAVS) with Patria. Having jointly established the Drone Coalition in 2024 with the United Kingdom, and now comprising 20 nations, Latvia is also at the heart of European drone production to support Ukraine's defense against Russia's invasion, aiming to deliver 12,000 of the coalition's 30,000 pledge.

Key Highlights

• Drivers: Latvia’s military modernization is driven by increased investments in acquisition and RDT&E programs to upgrade Latvia's fleet. Additionally, Latvia's reintroduced conscription is driving significant growth in personnel spending, in line with targets to produce a military force of 61,000 personnel. Emphasis is also being placed on developing key infrastructure to support joint NATO operations, as Latvia regards the alliance as central to its national security in light of perceived Russian threats.
• Top 3 Sectors: Missiles and Missile Defense Systems, Naval Vessels and Surface Combatant and Military Land Vehicles
• Top Country of Origin of Existing Fleet: Norway, Finland, United Kingdom, Germany and Austria

Scope

This Excel deliverable gives important, expert insight you won’t find in any other source. The interactive model illustrates qualitative and quantitative trends within the specified market. Various sections covered in the workbook are as follows:

• Interactive Visualizations: Two interactive dashboard sheets featuring charts and graphs that enable rapid analysis of qualitative and quantitative trends across the selected aerospace and defense market.
• Defense Budget Allocations: Detailed coverage of total defense expenditure with breakdowns across acquisitions, RDT&E, infrastructure, personnel, operations and maintenance (O&M), and other spending categories, supported by key macroeconomic and contextual indicators.
• Defense Program Forecasts: Forecast analysis of defense spending by sector, sub-sector, program, and supplier, enabling evaluation of procurement priorities, funding pipelines, and competitive positioning within the country.
• Fleet Size and Platform Inventory: Comprehensive assessment of military equipment inventories, including platform variants, acquisition timelines, current unit counts, manufacturers, country of origin, maintenance costs, and projected retirement, replacement, and service life extension indicators.
• Sources: Data compiled from a wide range of authoritative public and proprietary sources, including government budgets, defense ministries, armed forces disclosures, international organizations, industry reports, and the analyst’s internal databases.

Reasons to Buy

• Identify high-growth investment and procurement opportunities by analyzing historical data and long-term trends in the Latvia defense market across budget categories, sectors, and platforms through 2035.
• Track and benchmark defense budget allocations across acquisitions, RDT&E, personnel, infrastructure, and O&M, supported by macroeconomic indicators such as GDP, population, and defense spending as a percentage of GDP.
• Assess program-level funding priorities and pipelines by drilling down into defense programs by sector, sub-sector, and supplier, enabling evaluation of funding stability, growth potential, and competitive exposure.
• Evaluate fleet modernization and replacement opportunities using detailed platform-level data covering current inventories, acquisition timelines, maintenance costs, projected retirements, and replacement and service life extension probabilities.
• Strengthen competitive and supplier intelligence through comparative analysis of manufacturers, country of origin, and supplier participation across key defense programs and platforms.
• Save time and improve decision-making efficiency with a ready-to-use, interactive Excel workbook featuring intuitive pivots and dashboards that allow rapid filtering, customization, and scenario exploration without the need for additional modeling.