CSG prepares a second joint venture in Azerbaijan, a project valued at €1.8 billion

Joint venture targeted for December 2026 and production in 2027

CSG announced its project to establish a new company with a local partner, focused on the progressive localization of self-propelled howitzer production and on the transfer of the group's production technologies and expertise to Azerbaijan.

According to the current schedule, the joint venture is to be established in December 2026, with production start-up planned for 2027. According to the group's medium-term plan, the project represents a business opportunity valued at €1.8 billion over the next seven years.

Due to confidentiality agreements, CSG does not disclose the precise types of self-propelled howitzers, the planned production volumes or the identity of the local partner.

Industrial model based on technology transfer

This project follows the group's first joint venture in Azerbaijan, VEXA DS, LLC, whose creation was announced in April 2026 and which focuses on the repair, maintenance and modernization of armored vehicles and other land-based military equipment.

According to Jan Marinov, director of the CSG Defence Systems division, the signing of agreements leading to this second joint venture confirms the establishment of a long-term industrial presence, with the extension of cooperation beyond maintenance and modernization toward production localization.

The group indicates that localization will take place progressively, in several phases, by combining its own technologies and expertise with production capacities developed locally as part of a long-term industrial partnership.