EU Funds RagnaRasa Baltic Warhead Production Project

Project RagnaRasa EU Funds Joint Defence Project by RSI Europe and Odin Defence

2026-10-26 From Veronika Maucher 1 min Reading Time

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The EU is providing €29.5 million for the Baltic project RagnaRasa. Lithuania’s RSI Europe and Estonia’s Odin Defence aim to establish a cross-border production chain for warheads and other energetic components.

The European Union is providing €29.5 million from the European Defence Industry Programme (EDIP) to support RagnaRasa. The project was selected under the “Industrial Reinforcement Actions”, specifically the “Energetic Components” call for proposals, and is one of eight initiatives chosen from 83 proposals submitted by 23 EU Member States and Norway.

RagnaRasa aims to link production capacity in Lithuania and Estonia. Odin Defence plans to establish production of energetic components at the Ermistu Defence Industry Park in Estonia. RSI Europe will handle final assembly, testing and qualification in Lithuania. The result will be a joint industrial structure, with different stages of production carried out across the two Baltic states.

RSI Europe develops and manufactures, among other products, FPV drones, remote initiation systems and warheads. Headquartered in Lithuania, the company also operates in Germany, Ukraine and Poland, supporting armed forces with training, tactical doctrine and systems integration. Odin Defence is an Estonian defence company seeking to bring British expertise in the manufacture of energetic materials to Europe’s defence industry.

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“RagnaRasa is the next step in building our industrial capacity and regional defence capability, connecting essential components manufacturing in Estonia with final product assembly, testing and qualification in Lithuania,” said Tomas Milašauskas, RSI Europe’s chief executive and co-founder.

According to the companies, the funding is intended to help expand manufacturing capacity and enable the platforms to be continuously modernised. The information released so far does not specify production volumes or a start date for manufacturing.

The funding also highlights the growing importance of regional partnerships in expanding European defence production. RagnaRasa brings together industrial expertise from two Baltic states and is intended to help create additional capacity within the EU.

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