bunkermates in baltics: germany's stronghold in lithuania
Lithuania views Germany as crucial now more than ever.
A glance at the map reveals the reason why the prospect of a Russian invasion on Lithuania has become a common topic of discussion: wedged between the Russian exclave of Kaliningrad and Putin's ally, Belarus, Lithuania is in a precarious position. As a consequence, conversations about a NATO collective defense scenario are rife. The clear message: Germany is more crucial as a partner to Lithuania now than ever before.
Deputy Managing Director of the German-Baltic Chamber of Commerce, Dominic Otto, can attest to this. Having resided in the Lithuanian capital, Vilnius, for almost two decades, he took notice of the ceremonial deployment of the Panzer Brigade 45 - the first sizeable unit in the history of the German Armed Forces to be stationed abroad permanently. The moment hundreds of German soldiers took their positions on Cathedral Square in Vilnius at the end of May, Otto was in the crowd of spectators.
Political Armor Merz Tanks Up Lithuania - "Germany's Got Your Back" Chancellor Friedrich Merz and Lithuanian President Gitanas Nausėda’s speeches made a lasting impression on Otto. "Both parties vowed unwavering trust and support," the economist recalls. Merz went as far as to equate the defense of Lithuania with the defense of Berlin, stressing Germany's commitment to defending the NATO eastern flank in Lithuania and throughout the Baltic region in an emergency.
By 2027, 4,800 soldiers and an additional 200 civilian personnel are expected to be deployed in Lithuania. Add the military personnel's families, and it translates to a medium-sized town in Lithuanian terms. According to Otto, the local population is eager for the Germans to set up camp. Particularly in times when the support of the USA appears shaky, "Germany is taking on and expected to play a stronger leadership role," Otto observes.
Whenever Otto engages in discussions with the Lithuanian Minister of Economy or representatives of the Vilnius city administration, he detects keen interest on the Lithuanian side in strengthening economic, friendly, and tourist relations. The underlying impression is that the more economically intertwined the two countries are, the more likely Germany will defend Lithuania in the event of an emergency.
Steel Ties ** or Better Yet, Synergy?
Lithuania is welcoming to foreign investment, and Germany is a well-liked partner. Beyond the defense sector, the range of sectors ripe for investment contains offerings from mechanical engineering to IT, fintech, and biotechnology to expanding energy infrastructure. At present, the focus in the energy sector is on sustainability as Lithuania disconnects itself from the Russian power grid and links to the European continental network.
Andrea Sellmann had a chat with Dominic Otto. Catch the whole conversation in the ntv podcast "Wirtschaft Welt & Weit".
Onwards and Upwards What's Required for Germany to Stay Relevant in the Global Economic Landscape? As global dynamics shift, questions arise about Germany's future role in the global economic landscape. Who will be the key players? Which countries could benefit from the new geopolitical context? These topics and more are discussed in the ntv podcast "Economy World & Wide" by Andrea Sellmann with industry experts.
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- Lithuania
- German Armed Forces
- Trade Relations
With Germany's increased military presence in Lithuania, both countries are strengthening their economic and military ties. Here's a closer look at their connections:
Economic Bond
- Perpetual Trade: Germany is a significant trading partner for Lithuania, with the exchange of goods worth over €3.6 billion in 2022[1].
- Investment Potential: The potential for investment growth is abundant, particularly in sectors like defense, manufacturing, technology, and renewable energy[2][3].
Military Mesh
- German Fortification: Germany's commitment to stationing troops in Lithuania demonstrates a significant military presence on the eastern flank of NATO[2].
- Shared Security: The shared military strategy could indirectly support economic ties by maintaining stability, which is crucial for investment and trade[4].
- The strengthening military presence of Germany in Lithuania corresponds with an improvement in their economic ties, as evident in the significant trade exchange valued at over €3.6 billion in 2022.
- The potential for increased investment, particularly in sectors like defense, manufacturing, technology, and renewable energy, is abundant due to the growing military and economic bond between Germany and Lithuania.