Key facts
- PGZ CEO Adam Leszkiewicz said the group makes more than 700 products and that breadth can be a weakness.
- Poland is the largest recipient of the EU's €150 billion SAFE loans-for-arms program, taking almost €44 billion.
- PGZ reported 18.4 billion złoty in 2025 revenue, up 23%, and 2.8 billion złoty in profit, up 66%.
- PGZ is building three new artillery shell factories with the UK's BAE Systems.
- Analyst Marek Świerczyński said about 60% of Poland's defense spending goes on imports and that will not change quickly.
- A Warsaw Enterprise Institute report said most of the May deals with PGZ were no-bid contracts.
Poland's state-owned Polish Armaments Group has won billions of złoty in new orders as Warsaw pushes domestic companies to supply more of its expanding military, according to a Politico report published November 12, 2026. The conglomerate was assembled in 2013 from about 50 independent companies, each with its own management and often its own political backers.
CEO Adam Leszkiewicz, in the post since May 2025 and the holding company's 12th chief executive since its founding, said PGZ makes more than 700 products. "I could say we make almost everything. But what can be a strength can also be a weakness," he said. Analyst Marek Świerczyński of Polityka Insight said Leszkiewicz "essentially has to use diplomacy to try to manage the other companies."
Poland aims to spend 200 billion złoty (€45.7 billion), or 4.8% of GDP, on defense in 2026, the highest level in NATO, and is the largest recipient of the EU's €150 billion SAFE loans-for-arms program at almost €44 billion. In May, the Armaments Agency signed almost 120 billion złoty in contracts with Polish arms companies financed by SAFE, with a large share going to PGZ and subsidiaries including Huta Stalowa Wola for equipment such as 146 Borsuk infantry fighting vehicles, 96 Krab howitzers, 64 Rak mortars, K9PL support vehicles and 1,000 vehicles for the Homar-K rocket-launcher system. A Warsaw Enterprise Institute report said most of the PGZ deals were no-bid contracts.
PGZ is building three artillery shell factories with the UK's BAE Systems, and its Narew air defense system includes a tie-up with MBDA for missiles and launchers. Świerczyński said about 60% of Poland's defense spending goes on imports, mostly from South Korea and the United States, including K2 Black Panther tanks and F-35A fighter jets. One PGZ subsidiary will build K2 tanks starting in 2028.
PGZ reported 18.4 billion złoty in 2025 revenue, up 23%, and 2.8 billion złoty in profit, up 66%, and ranked 51st in the Stockholm International Peace Research Institute's 2025 list of the world's top 100 defense companies. Leszkiewicz said the group aims for the top 10 in Europe and top 30 globally.
Political risk persists. Morawiecki, prime minister from 2017 to 2023, called this summer for PGZ to potentially be dissolved, accusing it of weak management, and Kosiniak-Kamysz called the idea harmful and anti-state. Poland holds a parliamentary election next year, and opinion polls suggest Prime Minister Donald Tusk's coalition could be unseated.