CSG Defence and FNSS Sign Framework Agreement to Create a New European Land Systems Partnership

Aksel Buzuter / 16.06.2026 17:24

CSG Defence and FNSS Sign Framework Agreement to Create a New European Land Systems Partnership16 June 2026 · 16:24News

CSG Defence a.s. (CSG) and FNSS Savunma Sistemleri A.Ş. (FNSS) today announced the signing of a framework agreement defining the key terms for their strategic cooperation in Danube Defence Systems s.r.o., a Slovakia-based defence company headquartered in Trenčín. The announcement was made at the CSG Defence stand during Eurosatory 2026, Europe's leading land and air-land defence exhibition. 

Through Danube Defence Systems, the companies intend to manufacture and market a portfolio of modern armored vehicles anchored by the KARPAT Medium Tank for European land forces and export customers, combining FNSS's proven vehicle technologies with CSG's established European industrial infrastructure.

A Strategic Response to Europe's Evolving Security Landscape

The establishment of Danube Defence Systems reflects a fundamental shift in European defence priorities. The proliferation of precision-guided munitions, the battlefield dominance of unmanned aerial systems, and the growing density of sensors and reconnaissance capabilities have reshaped the requirements of modern armored warfare. European land forces increasingly require platforms that balance superior, precise lethality with high mobility, survivability and sustainable logistics at affordable cost and with fast delivery schedules.

Danube Defence Systems is designed to address this gap directly by combining FNSS's proven armored vehicle portfolio with CSG's European production capabilities and market reach. The company will offer locally manufactured, high-performance solutions tailored to the current and emerging needs of NATO and European partner nations.

Structure and Governance

Upon completion of the transaction and fulfilment of the necessary contractual and regulatory requirements, Danube Defence Systems is expected to be owned 51% by CSG Defence and 49% by FNSS. CSG will lead marketing and manufacturing operations, leveraging its existing facilities initially at the MSM Land Systems site in Trenčín, while FNSS will provide technology transfer, know-how and platform licences for local production. Financial and administrative functions will be managed jointly. The Trenčín facility offers centrally-located logistics infrastructure, hull welding and machining capability, integration and testing capability, and a strong regional supplier network, making it well-suited as the primary production hub for tracked armored platforms.

The KARPAT Family: Medium Armor for the Modern Battlefield

The flagship product of Danube Defence Systems is the CFL-120 KARPAT Medium Tank, derived from the FNSS KAPLAN platform. The KARPAT Medium Tank offers 120mm main battle tank-level firepower combined with superior mobility, transportability and a reduced logistic burden, positioning it as a highly competitive option for nations seeking to modernize cavalry, armored infantry, and fire support capabilities without the upfront procurement and sustainment costs associated with full-weight MBT fleets.

Beyond the KARPAT Medium Tank, Danube Defence Systems will offer variants including armored personnel carrier and infantry fighting vehicle configurations within the KARPAT family, as well as additional FNSS wheeled and tracked vehicles to be produced in Europe. The full FNSS weapon system portfolio will also be available through Danube Defence Systems.

Industrial and Economic Contribution to Slovakia

Danube Defence Systems is committed to maximising Slovak and European content in its vehicles. Hull production, powertrain integration, automotive subsystems, and final integration and testing are among the initial production activities planned for the MSM Land Systems facility. Slovak subcontractors are expected to play a central role in the supply chain, with the JV actively targeting maximum local content. As production ramps up, Danube Defence Systems anticipates the creation of direct and indirect employment in production, logistics, and commercial functions in Slovakia.

FNSS CEO & Board Member Selim Baybaş stated that; “Danube Defence Systems is the right structure at the right time. FNSS has spent decades engineering armored vehicles that are combat proven, trusted by armed forces worldwide. Through this partnership, we bring that technology into European production, offering KARPAT’s combination of 120mm firepower, mobility, and operational logistic ease to the nations that need it most and we do so as a native European company with all the advantages that entails.”

CSG Defence Systems CEO Jan Marinov stated that; “The establishment of Danube Defence Systems marks a defining moment for European defence industry collaboration. CSG brings proven industrial capability and market knowledge; FNSS brings world-class tracked armored vehicle technology; and together we form a unique mix of top-notch engineering capabilities. Together, we will deliver exactly what European and allied land forces need: NATO standard, modern, capable and novel solution specifically tailored for the battlefield of today and tomorrow.”

Kaynak: defenceTurkey