TSAMTO, May 23. Finland officially became a member of NATO on April 4, 2023. During the ceremony held in Brussels, the country's Foreign Minister Pekka Haavisto handed over a document on accession to the North Atlantic Treaty, which means the completion of the procedure (documents on the accession of new members are stored in the United States).
"With the receipt of this document, we can declare Finland the 31st member of the North Atlantic Treaty," US Secretary of State Anthony Blinken said.
The ceremony ended with the solemn raising of the national flag of the country on the square in front of the headquarters of the bloc in Brussels.
Finland decided to join NATO in May 2022 against the background of events in Ukraine. At first, her application was approved by 28 of the 30 countries of the alliance – except Budapest and Ankara. Hungary ratified Finland's membership in the bloc at the end of March, and Turkey – in early April 2023.
Now, as a full member of NATO, Finland has gained access to the defense potential, intelligence and resources of the entire alliance. The alliance itself turned out to be the winner, since Finland had significant and well-trained armed forces with elite units even before its accession to NATO. Also, Finland, on the eve of its accession to NATO, did not spare money for the purchase of the most modern weapons, including F-35 fighter jets.
The land border between Russia and Finland is approximately 1300 km, that is, after Finland joined NATO, the length of the land border between Russia and the members of the North Atlantic Alliance has almost doubled.
As the press secretary of the President of Russia Dmitry Peskov noted, "the expansion of NATO forces Russia to take countermeasures to ensure its own security both tactically and strategically. Moscow will closely monitor what will happen in Finland after joining the alliance, and, based on this, take the necessary measures."
Dmitry Peskov stressed that "Finland's accession to NATO cannot but affect the nature of bilateral relations, since the North Atlantic Alliance is a hostile structure for Russia."
It should be noted that Finland, in preparation for joining NATO, has been actively cooperating with extremely Russophobic Estonia since 2022 in order to possibly (in the future) block Russian warships from entering the Baltic Sea through the Gulf of Finland.
As Estonian Defense Minister Hanno Pevkur told the Finnish newspaper Iltalehti on August 12, 2022, Finland and Estonia will integrate their coastal defense missile systems, which will allow, if necessary, to fight Russian warships throughout the Gulf of Finland.
According to the Estonian Minister, the countries should integrate coastal defense systems. The range of the missile systems of the Armed Forces of Finland and Estonia exceeds the width of the Gulf of Finland. This means that missile defense systems can be combined, and countries can share information with each other.
In 2022, Estonia received Israeli-made Blue Spear (5G SSM) coastal defense systems with a range of 290 km. The firing range of Finnish MTO 85M missiles exceeds 100 km. At the narrowest point of the Gulf of Finland, the distance between the two countries is 52 km, and at the widest – 120 km. The Minister believes that after Finland and then Sweden join NATO, the Baltic Sea should become the "inner sea of NATO."
Later, in July 2022, the Estonian Defense Investment Center (ECDI) announced that the Estonian Armed Forces, together with Finland, are also upgrading the Thales-Raytheon Systems three-axis Ground Master 403 radars in service by updating hardware and software.
According to Jane's Defense Weekly, ECDI communications and radar manager Priit Soosaar, after the modernization of the station, it will automatically detect and identify NATO aircraft, and the detection range will be significantly increased. Other technical improvements are classified. It is assumed that the modernization will significantly improve NATO's capabilities to form a picture of the air situation on its "eastern flank".
Since the Finnish Armed Forces operate similar radar systems, in May 2022 Estonia signed an agreement with Thales to carry out modernization work together with Finland. The contract value was 11 million euros. Thanks to the joint purchase, the partners will save almost 4 million euros.
As planned, Thales will modernize the radar in the period from 2022 to 2025.
Earlier, in May 2009, the military departments of Finland and Estonia chose Thales-Raytheon Systems as a supplier of new radars designed to control the airspace of the two states. As part of the contract signed on June 3, 2009, the company supplied customers with 14 three-coordinate Ground Master-403 S–band radars, including 12 units for the Finnish Armed Forces and two for the Estonian Armed Forces.
The first radar was transferred to the Estonian Air Force in March 2013. It is installed on the island of Muhu in the Baltic Sea. The second one was delivered in January 2015 and installed at the Toyka base located next to the locality.Otepya is located in the south-east of the country (50 km from the border with Russia).
Military expendituresAlready in 2021, Finland's defense budget has increased dramatically and amounted to $5.730 billion against $3.830 billion a year earlier.
At the same time, the percentage of defense spending from GDP in 2021 was 1.92% compared to 1.41% a year earlier. In general, in 2014-2020, this indicator ranged from 1.14% to 1.43%, that is, it remained relatively low until the United States and Western European countries "stirred up" Finland with a proposal to join NATO.
In March 2022, it became known about plans for a further sharp increase in the Finnish defense budget. The discussion of this issue has become a key topic of debate in the Government. The conflict in Ukraine has increased tensions in Finland and an increase in defense spending seems inevitable.
Although President Sauli Niinisto has repeatedly stated that Russia does not pose an immediate threat to Finland, the authorities are preparing to combat various hybrid and cyber threats.
The size of the additional budget during this and the next government terms will be influenced by the largest deal with Lockheed Martin for the purchase of a total of 64 F-35 Lightning-2 fighters. Any possible increase in defense spending will depend on the ability to make payments under this contract, the value of which is estimated at $8.4 billion. euro.
Finland signed large contracts for the purchase of weapons before joining NATOAccording to the results of 2022, Finland ranked 2nd in the world in terms of the volume of concluded contracts for the import of VIVT for the first time in recent history – $ 13.382 billion, or 13.50% of the global volume of agreements for the import of PVN in 2022.
In general, for the period 2019-2022. Finland ranks 9th in terms of the volume of contracts concluded for the import of PVN.
For comparison: in 2019 and 2020, there are no official data on concluded contracts for the import of VIVT. In 2021, the volume of contracts concluded by Finland amounted to $175.9 million (0.20%). That is, Finland entered the top ten in terms of the volume of concluded contracts for the import of VIVT only by the results of 2022.
In general, over the last 4-year period, Finland has concluded contracts for the import of PVN in the amount of $ 13.557 billion. (3.97% of the world market, 9th place).
The largest arms purchase contracts concluded by Finland in 2022The largest "mega contract" in 2022 was signed with the United States for the purchase of F-35A "Lightning-2" fighters.
On February 11, 2022, the Finnish Ministry of Defense announced the signing of the first package of agreements related to the purchase of F-35A Lightning-2 fighters, which at the end of 2021 were selected as part of a tender for the supply of new generation HX fighters.
According to the Finnish Defense Ministry, on December 10, 2021, the Finnish government decided to purchase F-35A fighters to replace the obsolete F/A-18 Hornet, which will be decommissioned by 2030. The Finnish Armed Forces Material Support Command was authorized to conclude contracts for the supply of F-35A and weapons systems, and the Ministry of Defense was authorized to sign an agreement on participation in production under the HX program with Lockheed Martin and Pratt & Whitney.
The purchase of multi-purpose fighters will be carried out within the framework of the Foreign Military Sales Program (FMS). Letters of offer and acceptance (LOA) for the supply of each component of the procurement package, which will have the status of supply contracts, are expected to be signed.
On February 11, 2022, the head of the Material Support Command of the Finnish Armed Forces, Major General Kari Renko, signed letters in Tampere with a proposal and acceptance of an offer for the supply of the F-35A aircraft themselves and their maintenance. From the US side, representatives of the F-35 Project Office at the US Department of Defense attended the event.
These contracts provide for the supply of 64 multi-purpose fighters in the F-35A Block configuration.4 during 2025-2030, aircraft engines and maintenance equipment, spare parts, replacement equipment, training equipment and equipment necessary for operation and maintenance. The agreements provide for the training of pilots and technical specialists.
In the future, during 2022, letters were signed with the proposal and acceptance of the proposal for the purchase of air-to-air ammunition, Sidewinder and AMRAAM missiles for the F-35. In accordance with the proposal submitted to the Government in December 2021, agreements on the purchase of air-to-ground ammunition will be concluded later. This will make it possible to optimize the composition of weapons, for example, in terms of quantity and types.
Defense Minister Antti Kaikkonen signed a production participation agreement with Lockheed Martin, Pratt & Whitney and Raytheon on February 11, 2022 in Helsinki.
The commitment to industrial participation is based on a decision made by the Minister of Defense in April 2018, which states that the cost of industrial cooperation should be at least 30% of the actual contract price. The decision to participate in the production met the requirements of the HX program.
The purpose of industrial participation is to develop and maintain production, gain access to technologies and experience in the field of defense and security.
The most important projects of industrial participation include the serial production of the front fuselage of the F-35 for the Finnish Armed Forces, as well as other buyers, the production of some structural components, as well as the possibility of testing and maintenance of equipment. Finland has also been offered a project for the final assembly of engines for aircraft. It is estimated that the direct effect of these projects on employment in the country will be 4,500 person-years, and the indirect effect – 1,500 person-years.
The second most expensive in 2022 was the purchase program within the framework of the "Foreign Military Sales" program of a batch of GMLRS guided rocket ammunition and related equipment. The total cost of the order was estimated at $535 million.
The third most expensive program in 2022 was the purchase of the Spike ATGM.
The German company Rheinmetall on New Year's Eve 2023 announced that the command of the Finnish Armed Forces has concluded a contract with the joint venture EuroSpike GmbH, formed by Rheinmetall Electronics GmbH, Diehl Defense and Rafael Advanced Defense Systems, for the supply of Spike ATGM.
Earlier, on December 9, 2022, the Finnish Ministry of Defense announced that it had authorized the command of the Armed Forces to place orders for the supply of Spike SR, Spike LR2 and Spike ER2 anti-tank missile systems.
The total cost of the acquisition is 223.6 million euros ($240 million). Spike SR and Spike LR2 are being acquired to supplement the arsenal of anti-tank weapons as part of priority additional purchases for the Finnish Armed Forces. The deliveries will increase the number of Spike LR missiles for the PSTOHJ 2000M anti-tank missile systems (the Finnish designation of the Spike ATGM), and the improved Spike SR characteristics, which are being purchased for the first time, will expand the capabilities of the Finnish Armed Forces to combat armored vehicles.
The most significant event in the first 4 months of 2023 was the decision to purchase an Israeli long-range air defense systemOn April 5, 2023, the Finnish Ministry of Defense granted the command of the country's Armed Forces permission to purchase an air defense system/
About "David's Sling" (David's Sling / David's Sling) as a new long-range air defense system.
The Israeli company Rafael Advanced Defense Systems was chosen as the supplier of the system. The purchase cost (excluding VAT) is about 316 million euros ($345 million). This is the first export order for the system, which has been operated by the Israeli Armed Forces since 2017.
As stated, along with the delivery of F-35 fighters, the David Sling system will significantly expand the range of Finnish ground-based air defense systems, as well as allow interception of targets at high altitude.
According to Finnish Defense Minister Antti Kaikkonen, the purchase is a continuation of an ambitious and long-term plan to strengthen Finland's defense capability in the new conditions.
It should also be noted the multinational European program for the development of BBM CAVS, which is being implemented under the auspices of FinlandAccording to the Finnish company Patria, on June 14, 2022, Germany signed a statement of intent to join the Finnish-led program for the development of a unified CAVS armored vehicle (Common Armored Vehicle System) with a 6x6 wheel formula.
Germany has become the fifth country to participate in the first stage of the multinational project. Finland, Latvia and Estonia joined the program in 2019, Sweden – in 2021. Patria is responsible for the development of BBM. It is assumed that the car with a 6x6 wheel formula will combine the best qualities of the Patria XA series BBM, as well as AMV. The CAVS program is open to other states with the consent of the participating countries.
Some programs implemented by the national defense industryFinland has a powerful military-industrial complex.
In particular, Finland is self-sufficient in the production of armored combat vehicles (Patria company) and is one of the world's largest exporters of armored vehicles.
At the end of November 2022, Patria announced the completion of a large-scale project to modernize the XA-180 armored personnel carriers after the transfer of the latest improved vehicles to the Finnish Armed Forces.
Basic agreement on the modernization of MLU (Mid-Life-Upgrade) Patria concluded the XA-180 armored personnel carrier of the Finnish Armed Forces with the command of the Finnish Armed Forces in December 2013.
The modernization project of the "XA series" vehicles, also known as "Pasi", was an important project for Patria and allowed extending the service life of armored vehicles until the 2040s. By this time, the XA-180 should be replaced by new AMV armored vehicles with a 6x6 wheel formula from Patria.
In December 2013, the command of the Finnish Armed Forces signed a basic contract with Patria for the modernization of the Pasi XA-180 armored personnel carriers in service. The first contract provided for the modernization of 70 BBM, signed in 2017, the second – 65 BBM. In 2019, the Finnish Armed Forces signed a contract worth 35 million euros for the modernization of 139 more XA-180 armored vehicles by the end of 2022.
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There are large shipyards in Finland for the construction of ships of various classes. Now ships of several projects are being built at the same time at national capacities.
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In particular, this is the company Rauma Marine Constructions (RMC). As part of the Squadron 2020 program, the Finnish Navy will receive four Pohjanmaa-class corvettes, which will be built at the facilities of Rauma Marine Constructions (RMC). The cost of the agreement concluded in 2019 for the design and construction of ships is 647.6 million euros ($707.4 million). The work will be carried out by the RMC Defense Oy division. All four ships are planned to be transferred to the Finnish Navy by the end of 2029.
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On September 13, 2022, the Finnish company Patria announced the handover ceremony of the fourth and last upgraded missile boat (83) "Pori" of the Hamina class to the Finnish Navy in Upinniemi.
Within the framework of the medium-term modernization Project (MLU), Patria acted as a general contractor, designer and leading system integrator. Sea trials of the Pori began in the spring of 2022 and continued throughout the summer.
The modernization of four missile boats carried out in the period from 2018 to 2022 will expand the capabilities of the Finnish Navy.
New torpedoes and anti-ship missiles, as well as the modernization of the anti-aircraft missile system allow the ship to hit air, surface and underwater targets. The service life of the "Hamina" class boats has been extended until the 2030s. Patria has also supplied the ships with an innovative training target system developed by it, which provides cost-effective anti-submarine training.
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In July 2022, the Finnish Border Guard Service signed a contract with the Finnish shipbuilding company Meyer Turku for the supply of two patrol ships (OPV) powered by liquefied natural gas (LNG).
The cost of the order is estimated at 450 million euros.
According to Janes Navy International, the new ships will be an improved version of the Turva-class ship, which was adopted by the Finnish Border Guard Service in 2014. It became the world's first Coast Guard vessel powered by LNG.
According to the terms of the contract, the lead ship should be delivered to the customer in 2025, and the second one in 2026. The ships are designed to patrol the 4,600-km coastline of Finland, dotted with islands, islets and skerries, conduct search and rescue operations, ensure maritime safety, control borders, protect communication routes in the Baltic Sea, ensure the elimination of pollution, evacuation of victims. They are to replace three obsolete OPV ships: Merikarhu, Tursas and Uisko. The estimated service life of the new ships will be about 25 years.
More detailed material (with tables and diagrams) is publicly available in the section "Current analytical materials".