Portugal is set to invest €5 billion in defense by 2029, aiming not only to boost security but also to reindustrialize its economy. Prime Minister Luís Montenegro announced that defense is now a national priority, with spending to reach 2% of GDP, without compromising social programs or fiscal stability.
Key players are already leading the charge:
- Tekever – a global leader in drones, providing surveillance tech to European and African governments.
- LUS-222 – Portugal’s first civil-military aircraft, designed for cargo, passengers, and search & rescue, expected to fly in 2028.
- EID – developer of tactical communication systems for NATO and markets across Asia and Latin America.
- Beyond Composite – innovating ballistic protection gear with impact sensors and lightweight materials.
- Jacinto – manufacturer of riot control and military vehicles, competing for a 200M euro contract in Argentina.
According to idD Portugal Defence, traditional industries will benefit too — from agri-food (combat rations) to textiles, footwear, and automotive suppliers capable of producing armored vehicles. Defense is becoming a driver for exports, innovation, and international partnerships.
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