Estonia Signs €200 Million Deal with MBDA France for Mistral Air Defense Systems

In early July 2025, Estonia formalized a significant defense procurement agreement with MBDA France, securing a framework contract valued at up to €200 million for the acquisition of Mistral air defense systems. This development was disclosed through a notice from Estonia’s defense procurement agency, RKIK, published on the European online tendering platform TED. The agreement itself was signed on June 6, 2025, although specific details regarding the duration of the contract or the exact number of systems and missiles to be delivered remain undisclosed.

Mistral 3. MBDA

The Mistral system has been part of Estonia’s military inventory for several years, primarily deployed in its older variants. These systems are used in both man-portable air-defense systems (MANPADS) and vehicle-mounted configurations. The latest procurement initiative builds upon Estonia’s prior involvement in a multinational effort to jointly acquire the Mistral 3 variant. That initiative was launched in June 2023, when Estonia joined France, Belgium, Cyprus, and Hungary in signing a declaration of intent for collaborative procurement. A year later, during the Eurosatory 2024 defense exhibition, the five nations formalized a framework agreement to facilitate acquisition through France’s defense procurement agency, DGA.

The Mistral 3 represents the most advanced iteration of MBDA’s short-range air defense missile. It is designed to counter a wide spectrum of aerial threats, including fighter jets, transport aircraft, helicopters, drones, and cruise missiles. The missile features a fire-and-forget guidance system, an infrared imaging seeker, and sophisticated image processing capabilities. Weighing approximately 20 kilograms and capable of reaching speeds up to Mach 2.7, the Mistral 3 can engage targets at distances of up to eight kilometers. Its warhead, weighing around three kilograms, is engineered to neutralize various airborne platforms with high precision.

The broader European context of this procurement is rooted in efforts to enhance collective defense capabilities through joint acquisitions. The European Commission, under the European Defence Industry Reinforcement through Common Procurement Act (EDIRPA), approved the Mistral 3 project in November 2024 as one of five strategic initiatives. This approval enabled France to lead a consortium of eight additional countries—Belgium, Cyprus, Estonia, Hungary, Romania, Spain, Slovenia, and Denmark—in acquiring a total of 1,500 Mistral 3 missiles from MBDA.

The cooperative framework aims to streamline procurement processes, improve cost-efficiency, and bolster the resilience of the European defense industrial base. By aggregating demand across multiple nations, the initiative seeks to provide long-term stability for manufacturers and enhance interoperability among European armed forces. The joint acquisition model also reflects a strategic shift toward deeper integration in defense planning and procurement across the European Union.

Estonia’s bilateral agreement with MBDA France, while part of this larger European trend, also underscores the country’s specific defense priorities. The Baltic state continues to invest in layered air defense capabilities amid evolving regional security dynamics. The Mistral 3’s portability and versatility make it a suitable choice for Estonia’s operational requirements, particularly in countering low-signature threats such as drones and loitering munitions.

Estonia’s €200 million framework agreement with MBDA France marks a notable step in its ongoing modernization of air defense systems. It aligns with broader European efforts to consolidate defense procurement and reflects a pragmatic approach to enhancing national and regional security infrastructure. The absence of detailed delivery schedules or quantities leaves room for further developments, but the strategic intent behind the agreement is clearly embedded within a larger framework of cooperative defense planning.