Wolfram Europa to invest €200 million in Jēkabpils

Wolfram Europa has announced a €200 million investment to develop a vertically integrated energetics complex near Jēkabpils, Latvia. The project is expected to create around 200 high-skilled jobs and significantly strengthen Latvia’s defence-industrial capacity.

The complex will be developed in three phases from 2027 on a 40-hectare site secured under a long-term land agreement with Latvijas Valsts Meži, Latvia’s state forestry company.

Once fully operational, the facility will include explosives synthesis, energetic-material processing, warhead manufacturing and counter-mobility solutions. Planned capacity includes the production of up to 300 tonnes of RDX or 100 tonnes of HMX annually, as well as the manufacture and assembly of up to 100,000 anti-tank mines and 200,000 warheads per year.

The investment is designed to address a critical gap in Europe’s defence-industrial supply chain. As European countries expand investment in ammunition, missiles, air defence and autonomous systems, demand for explosives and energetic materials is also increasing.

“Investments of this scale represent a significant step forward in the development of Latvia’s defence industry and demonstrate Latvia’s ability to attract strategically important industrial projects to its regions,” said Viktors Valainis, Minister of Economics. “The €200 million investment and approximately 200 new jobs in Jēkabpils county represent a significant contribution both to the development of the region and to Latvia’s overall industrial capacity.”

Wolfram Europa says the Jēkabpils complex is designed to provide resilient and scalable production capacity for Latvia, Europe and NATO allies. The site will integrate synthesis, mixing, filling and assembly, allowing production to be scaled in response to changing demand and supply-chain requirements.

“The establishment of such a company strengthens Latvia’s defence industry, promotes the development of technologies and expertise, and demonstrates Latvia’s ambition to become a significant regional hub for defence industry and technology development,” said Airis Rikveilis, State Secretary of the Ministry of Defence.

Magnus-Valdemar Saar, CEO of Wolfram Europa, said Europe had spent decades reducing its explosives and munitions production capacity while defence requirements had continued to grow.

“Europe is rearming, but investment is still focused mainly on platforms and final assembly. That is the explosives gap,” Saar said. “Wolfram Europa was created to close that capacity gap and make the technological leap, producing world-class explosives and warheads with modern technologies and manufacturing methods.”

The company plans to develop the Jēkabpils facility as its first major production site, with ambitions to expand its capacity and establish further facilities in Europe.

For Jēkabpils, the project represents a major industrial investment and an opportunity to create new high-value jobs while strengthening the region’s role in Latvia’s defence and technology ecosystem.

“We greatly appreciate the company’s decision to develop its production facilities right here in Jēkabpils county,” said Raivis Ragainis, Chairman of Jēkabpils County Municipality. “This represents a vital contribution not only to the local area’s development but also to the broader security of the Baltic region.”

Edgars Tavars, Minister for Smart Administration and Regional Development, added that the government’s priority would be to ensure that unnecessary bureaucracy does not delay the investment and that the project can contribute to the economic development of Jēkabpils and Latvia.

The €200 million investment positions Jēkabpils as a potential strategic centre for European defence-industrial production and marks a significant step in Latvia’s ambition to strengthen domestic manufacturing, technological expertise and security of supply.

Source: wolframeuropa.com