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Sunday, August 16Sunday, August 16
9 days · 3 summary articles
Ukrainian defense firm to build Lithuania plant creating up to 450 jobs: Rail Baltica lawsuits and Air Baltic route cuts loom
Lithuania PM to discuss Rail Baltica lawsuits as contractors sue project entity
Latvia launches military mobilization drills for 114 reservists as Lithuania tightens Russian language restrictions
Lithuanian President Gitanas Nauseda welcomed plans by Ukrainian defense company DEMZ to invest in Lithuania and establish production and assembly facilities for defense ammunition components. The agreement, signed on Friday in Vilnius between the Lithuanian government and DEMZ, is expected to create up to 450 new jobs in the Alytus and Prienai districts, with construction of the plant in the Prienai district scheduled to begin this autumn and production expected to start by the end of next year.
The facility will be built near Balbieriskis on a 30.6-hectare plot in the village of Azuolai, the only site in the Prienai district included in the National Land Service’s list of state plots reserved for investment. DEMZ, a major supplier of defense goods to the Ukrainian military, has shifted its operations from civilian to military production since the outbreak of the full-scale war in Ukraine and employs approximately 4,000 people.
Meanwhile, Lithuanian Prime Minister Mindaugas Sinkevicius plans to meet Transport Minister Juras Taminskas next week to discuss legal claims brought by contractors against LTG Infra over the Rail Baltica project. Contractors HISK, Tilsta, and Italy’s Rizzani de Eccher have filed four lawsuits against LTG Infra, the entity responsible for implementing the Rail Baltica project. Sinkevicius also addressed reports that Latvian national carrier Air Baltic is suspending three winter routes from Lithuania, including Vilnius to Berlin and Dubai, as well as Palanga to Tenerife. The prime minister stated that Lithuania’s priority remains maintaining the overall number of flight connections, though no decisions have been made regarding potential state involvement in the airline.
Air Baltic’s business plan, which envisages significant restructuring of its fleet and network, may lead to a substantial reduction in the number of employees, according to a trade union. The Latvian government is also seeking authorization from the Saeima to participate in raising up to €30 million in additional funding for the airline.
In Vilnius, demand for free Lithuanian language courses far exceeds available places, with about 200 people currently enrolled in courses organized by Vytautas Magnus University and the Vilnius municipality. Registration for a new round of courses beginning in September is scheduled to open next week, but some applicants have been told no free places are available and have instead received offers for paid courses. Vilnius Mayor Valdas Benkunskas said the city had never promised that Lithuanian language courses would always be free, noting that paid options would also be available. The shortage of places is driven in part by new language requirements in Lithuania’s service sector, where knowledge of Lithuanian has become mandatory this year.
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