EU Funding Granted to Consortium Represented by State Defence Corporation to Boost Modular Charge Production Capacity in Europe

In order to increase modular charge production capacity in Europe, including the establishment of an ammunition assembly facility in Latvia, a grant agreement was signed in November 2024 between a consortium of defence industry companies from five European countries and the European Commission for €41 million under the project ROLLO. Latvia in this consortium and project is represented by “State Defence Corporation”, LLC (SIA “Valsts aizsardzības korporācija”).

The funding is allocated to one of the largest and most comprehensive projects supported under the Act in Support of Ammunition Production (ASAP) Regulation – ROLLO (“PROduction of ModuLar Charges with TripLe and Double Base PrOpellant”) – which will establish a modular charge assembly facility for artillery ammunition.

Ingrīda Ķirse, Board Member of the Corporation stated: “It is important that our consortium partners are experienced defence industry companies with strong international track records. These include the lead partner KNDS Ammo from Italy, NAMMO from Norway and Finland, as well as another KNDS Group company from France. This enables Latvia and the Corporation to acquire within a short period the expertise required for further development, in order to proceed as planned with the establishment of the production facility and the industrialisation of the defence sector, thereby contributing to the supply of the National Armed Forces and integration into international ammunition supply chains.”

The implementation of the project will strengthen cooperation between five industry partners, and as a result of this cooperation additional modular charge production capacity will be created in Europe, along with a more resilient and efficient ammunition production base.

The five consortium members from Italy, France, Latvia, Norway and Finland highly appreciate the decision to award funding for the implementation of ROLLO.

About ROLLO

The objective of ROLLO is to increase modular charge production capacity in Europe. It is funded under ASAP Regulation (grant agreement No. ASAP-2024-101172125-ROLLO).

At the end of 2023, the consortium, including Latvia, submitted its application under a European Commission call for proposals, which in spring 2024 identified the project as a priority and approved its funding. In autumn 2024, the grant agreement was signed between the consortium and the European Commission.

The project is being implemented by five partners. In Latvia, the “zero phase” of the project has been completed, including the preparation and signing of contracts and documentation. The “first or implementation phase” has now begun, with the aim of commencing and carrying out construction of the production facility in 2025.

Production is planned to begin in the third quarter of 2026.

Taking into consideration the sensitive nature of the project and its importance to the defence industry, confidentiality is maintained with regard to specific implementation details of ROLLO.

This information reflects only the views of the author, and the European Commission is not responsible for any use that may be made of the information contained herein.

About State Defence Corporation

The Corporation was established following a decision by the Government of Latvia in November 2023. Its aims are to support the long-term development of Latvia’s defence industry, manage investments in the sector, and coordinate processes related to the production of military goods. Through these activities, the Corporation contributes to strengthening the supply capabilities of the NAF, supporting the growth of Latvia’s defence industry, and ensuring the security and continuity of international supply chains. The Corporation works in sectors that require significant state involvement and are not served by the private sector.

The Corporation also fosters national and cross-border cooperation and partnerships. The company is a wholly state-owned enterprise, with the Ministry of Defence acting as its shareholder.

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AGNESE KORBE 
State Defence Corporation 
Communication and Stakeholder Relations Manager
+371 29110062 
agnese.korbe@defencecorporation.lv 
defencecorporation.lv
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