Sweden will order four navy frigates from France's Naval Group in a $4 billion deal that will triple its air defence capacity as the new NATO member focuses on security threats in the Baltic Sea, its prime minister said on Tuesday.
Sweden is racing to build up its military in the wake of Russia's invasion of Ukraine and the Nordic country's subsequent accession to NATO, with the new frigates representing a significant expansion of maritime defence capabilities.
The purchase of the French Defence and Intervention (FDI) frigate model will be Sweden's biggest military investment since the 1980s, Prime Minister Ulf Kristersson said.
"The Baltic Sea has never in the modern era been as exposed, questioned and contested as it is now," Kristersson told a press conference on board the Swedish naval corvette HMS Harnosand, docked in central Stockholm for the occasion.
"With this decision I am convinced Sweden is contributing to making the Baltic Sea considerably safer in the future."
Adding the frigates to the naval arsenal will alone triple Sweden's air defence capabilities, Kristersson said.
The first delivery is expected in 2030, with the total cost of the four frigates estimated at some SEK40 billion ($4.25 billion).
The government has requested that several weapons systems developed in Sweden, including by Saab, can be utilised by the vessels, Defence Minister Pal Jonson said.
Each vessel is expected to cost around SEK10 billion, depending on the exact weapons systems on board, with the first delivery expected to take place in 2030, Jonson said.
The conservative government, one of Ukraine's staunchest backers in Europe, has said it expects to reach NATO targets for military spending of 3.5 per cent of GDP already in 2030, several years ahead of the alliance's deadline.
The new frigates will be the largest surface warships in Sweden's navy and have an expected lifespan of some 40 years, the government has previously said. Naval Group won the race in competition with a joint bid by Britain's Babcock and Saab as well as one from Spain's Navantia.
The frigates are seen as a key component of Sweden's air defence and protecting the Baltic Sea. In addition to the four frigates Sweden has five smaller Visby-class corvettes and is currently upgrading its fleet of submarines.
(Reporting by Johan Ahlander and Soren Jeppesen; writing by Niklas Pollard and Terje Solsvik, editing by Essi Lehto and Gus Trompiz)