There are 25 companies from Lithuania working around the world.

I was fascinated by this article. Isn't Tom Ronell in Lithuania or is it
Latvia. Cheers -- Kathryn

*How Lithuania became an aviation hub without its own national airline*

by *Goda Labanauskait
<https://aerotime.acemlnb.com/lt.php?x=3DZy~GDJVnifE50qytxNh.ee13AovdEjlxdgjKc6UFSiDXWs0Uy.0uFx1Xzzid9xj_YxXHIWJnih6H3>e*

The overall contribution to global GDP that is supported by aviation is
3.9%, according to data from the International Air Transport Association
(IATA)
<https://aerotime.acemlnb.com/lt.php?x=3DZy~GDJVnifE50qytxNh.ee13AovdEjlxdgjKc6UFSiDXWs0Uy.0uFx1Xzzid9xj_YxXHIWJnih6XF>,
released in June 2025.


At first glance, countries without a national airline might seem to play
only a minor role in contributing to this figure. However, the broader
aviation ecosystem, including pilot training, aircraft maintenance, ground
handling, fueling, baggage operations, and engineering, is just as
significant when it comes to driving industry growth.


So, how can a country become a leading aviation hub without operating its
own airline?

To explore this, AeroTime looked at Lithuania, a Baltic country succeeding
in an industry dominated by nations with major carriers.
*Growth without a national airline*

The aviation sector contributes 2.8% to Lithuania’s GDP annually, and in
2024, the global annual turnover of major Lithuanian aviation companies
reached €3.2 billion, according to data from LAVIA, the largest
organization uniting Lithuanian aviation companies.


These results cannot be attributed to individual firms alone. In the
absence of a national airline to act as a flagship for the industry,
Lithuania’s aviation growth highlights the importance of collective
organization. Industry associations, such as LAVIA, help coordinate
strategy, represent the sector’s interests to government and regulators,
and encourage collaboration across various service providers.


In an exclusive interview with AeroTime, Aleksandras Nemunaitis, the
Chairman and CEO of LAVIA, shared that institutions usually prefer to work
with associations instead of individual companies to avoid accusations of
favoritism.


“When you approach decision-makers, often politicians or regulators, you
appear more credible if you represent an entire sector rather than just a
single company,” Nemunaitis explained.


He noted that these associations, including LAVIA, are officially
registered and often have lobbying status.


“That is why organizations like ours exist: to represent, discuss, and
present unified positions on issues important to the aviation industry,”
said Nemunaitis, adding that all processes must remain open and transparent.
*A small country’s roadmap for aviation growth*

LAVIA’s capacity to unite the industry has enabled it to be a key player in
developing long-term strategies with government officials.


One of the most notable examples of this was its contribution to creating
the Lithuanian Aviation Guidelines for 2030
<https://aerotime.acemlnb.com/lt.php?x=3DZy~GDJVnifE50qytxNh.ee13AovdEjlxdgjKc6UFSiDXWs0Uy.0uFx1Xzzid9xj_YxXHIWJnih6XJ>.
This was a collaborative effort between the aviation industry and
government bodies, receiving approval from the country’s Ministry of
Transport and Communications in 2022.


Nemunaitis stated that this strategy established objectives for the growth
of Lithuania’s aviation sector, focusing on enhancing the country’s
connectivity and appeal for aviation operations.


The document sets out a vision for Lithuania’s aviation sector, including
at least 150 air destinations accessible from the country, the promotion of
climate-friendly and sustainable aviation, a significantly higher ranking
in global accessibility, and a target of increasing the sector’s
contribution to national GDP to around 5% by 2030.


“This strategy was a very important achievement and a rare case of true
cooperation, and today that strategy guides concrete actions and
legislation,” he said. “We continue to explain to officials what decisions
are needed to improve connectivity, tackle migration-related challenges,
such as employing staff at airports, and more.”
*Preparing talent for a growing industry*

To meet the goals set in the Lithuanian Aviation Guidelines for 2030, a
skilled workforce is essential to support the country’s unified efforts in
the aviation industry. Lithuanian aviation companies are currently active
in over 25 countries. According to Nemunaitis, this shows that aviation
involves more than just airlines.


Nemunaitis points out that the industry is “large and diverse,” offering
more than just roles for pilots and flight attendants, with positions
available for engineers, mechanics, technicians, IT experts, marketers, and
lawyers, among others.


The 2025 Aviation Talent Forecast
<https://aerotime.acemlnb.com/lt.php?x=3DZy~GDJVnifE50qytxNh.ee13AovdEjlxdgjKc6UFSiDXWs0Uy.0uFx1Xzzid9xj_YxXHIWJnih6XN>,
published during the Paris Air Show 2025 by global pilot training provider
CAE, indicates that the aviation sector will require 1,465,000 new
professionals in the next 10 years due to fleet growth, increasing travel
demand, and high retirement rates. This includes a need for 300,000 pilots,
416,000 aircraft maintenance technicians, 678,000 cabin crew members, and
71,000 air traffic controllers.


Recent data from LAVIA shows that the industry currently generates
approximately 15,000 direct and indirect jobs in the country, contributing
nearly €100 million in taxes to the national budget each year.


To meet these growing workforce demands, Nemunaitis said LAVIA’s role
includes not only making policy suggestions, but also supporting education
to ensure the industry has the skilled professionals it needs.


“The core mission of our association is cooperation between business and
education,” he added. “We work closely with universities, colleges, and
vocational schools to ensure there are enough specialists for the aviation
industry.”
*Bridging the gap between drone industry and regulators*

Beyond traditional aviation, LAVIA has been instrumental in advancing drone
integration. Working with industry stakeholders and policymakers, the
organization has helped position Lithuania as a leader in safely
incorporating drones into shared airspace.


“Lithuania is actually considered one of the leading EU countries in
integrating drones safely into airspace, thanks to cooperation between
state and private actors,” Nemunaitis explained. “Drones are a fast-growing
field, including civilian and defense applications, and LAVIA’s members are
already actively engaged internationally.”


To comply with EU drone regulations, Lithuania’s air navigation service
provider, Oro Navigacija, invested €2.5 million in June 2023 through a
contract with Austrian company Frequentis
<https://aerotime.acemlnb.com/lt.php?x=3DZy~GDJVnifE50qytxNh.ee13AovdEjlxdgjKc6UFSiDXWs0Uy.0uFx1Xzzid9xj_YxXHIWJnih6XR>
to
launch the country’s U-space service system.


The platform is designed to safely manage drone operations in shared
airspace, enabling pilots to request flight approvals, access real-time
traffic and weather data, and monitor other users through mobile
applications.
*Overcoming regulatory hurdles*

But turning strategies into reality is not without obstacles. According to
LAVIA, one recurring challenge is bureaucracy and what the association
views as excessive caution from government bodies.


For example, Nemunaitis pointed to the requirement for annual background
checks for employees who have been working at airports for many years. He
suggested this process could be improved by continuous monitoring instead
of repeating the same checks each year.


Another challenge, Nemunaitis said, is the timing of political decisions,
which can be delayed at the end of a government’s term or when new
officials lack experience. This, he argued, “slows down necessary reforms”.


Despite these obstacles, Nemunaitis believes that the aviation industry in
Lithuania and the wider Baltic region still has plenty of room for growth.


“The Baltic region, and Lithuania in particular, punches above its weight.
Governments must treat domestic investment the same as foreign investment.
If businesses are ready to invest, the state should support them regardless
of ownership origin,” he said. “If this is achieved, the aviation sector in
the Baltics will grow very strongly.”

-- 



Kathryn Creedy
PHONE # 321 405 4395
US-Eastern Time Zone
*Twitter*: @kcreedy
*Visit me on LinkedIn*
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