Finnish manufacturer Kesla to exit civilian tractor equipment, shifts focus to defence industry

Finnish listed company Kesla will discontinue its production of civilian tractor attachments to concentrate on defence manufacturing, the company announced Monday, as reported by national broadcaster Yle.

The board of the Joensuu-based firm has initiated a process to divest or restructure its business unit producing tractor-mounted equipment for civilian use. The move follows a strategic decision to prioritise defence contracts, where Kesla has secured significant orders, including a record-breaking deal this spring for mine-clearing trailer systems from a NATO member state.

CEO Pasi Nieminen stated that exiting the civilian tractor equipment sector will strengthen the company’s competitiveness. The transition is expected to be completed by the end of this year.

Kesla’s product portfolio includes automotive and industrial cranes, forestry machinery, and defence products under its Kesla Defence division. The company’s Joensuu plant also houses its research and development operations.