Sweden’s Saab signs deal with Polish state defence group PGZ to cooperate in naval sector

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Notes from Poland is run by a small editorial team and is published by an independent, non-profit foundation that is funded through donations from our readers. We cannot do what we do without your support.

Swedish defence giant Saab has signed a strategic collaboration agreement with Polish state defence group PGZ that will see them cooperate on naval production, servicing and technology.

The firms say that PGZ will be integrated into Saab’s supply chain, while they also aim to establish an underwater technology centre in Poland and explore joint production projects, including for a new torpedo.

The deal highlights and reinforces the growing ties between Poland and Sweden, two Baltic NATO allies that signed a strategic partnership in 2024 to enhance cooperation on defence and economic development.

Poland last year picked Saab as its preferred supplier of three new submarines for its navy. Polish Prime Minister Donald Tusk said at the time that one reason Saab won the bid was its openness to invest in and transfer expertise to the Polish shipbuilding industry.

In March this year, Saab and PGZ agreed to cooperate on the maintenance and repair of those submarines. Under the new agreement signed this week, the pair will also collaborate more broadly on the servicing of surface and underwater vessels.

The Swedish company also says it will “integrate PGZ Group’s naval domain entities into Saab’s supply chain” while “pursuing selected export opportunities for both surface and underwater platforms, including rescue vessels”.

Additionally, the firms intend to establish an “underwater technology centre” in Poland and “explore the possibility to collaborate on a heavyweight torpedo”, says Saab.

Saab’s CEO, Micael Johansson, expressed satisfaction at the “speed at which our cooperation is advancing”.

He said that the new agreement “reflects a strong commitment to a deepening partnership between Polish and Swedish industry, while also contributing to enhanced security in the Baltic Sea and NATO’s eastern flank”.

His counterpart at PGZ, Adam Leszkiewicz, likewise hailed the deal as “an important step in the development of maritime competences in Poland and integration with international supply chains”.

“Maritime and submarine domains are becoming a key pillar of Polish-Swedish cooperation, from both a security and industrial perspective,” he added.

Since Russia’s full-scale invasion of Ukraine in 2022, Poland has increased its defence spending to the highest relative level in NATO. While Warsaw still buys much of its hardware abroad, in particular from the US and South Korea, it has also been seeking to bolster its domestic defence industry.

Meanwhile, Poland has in recent years sought to build closer ties across the Baltic region, helped by the fact that Finland and Sweden joined NATO after the Russian invasion of Ukraine.

Last year, Poland and Sweden held their first bilateral military exercises in the Baltic Sea and Sweden bought €274 million worth of Piorun man-portable air-defence systems from Polish firm Mesko, a subsidiary of PGZ.

Poland has also deepened defence ties with Norway, whose Kongsberg Defence & Aerospace will be involved in developing a new Polish anti-drone system. Meanwhile, Poland will manufacture missiles for K239 Chunmoo rocket artillery systems that Norway is purchasing from South Korea.

Notes from Poland is run by a small editorial team and published by an independent, non-profit foundation that is funded through donations from our readers. We cannot do what we do without your support.

Main image credit: Saab (press materials)

Olivier Sorgho

Olivier Sorgho is senior editor at Notes from Poland, covering politics, business and society. He previously worked for Reuters.