Finland joined the US-led bloc last year and has since begun to make rapid progress in arms production.
Prime Minister Petteri Orpo said Finland had increased ammunition production fivefold to help Ukraine in its fight against Russia.
Speaking at a joint press conference with Estonia's new Prime Minister Kristen Michal in Helsinki on Wednesday, Orpo said both countries “I agree that Russia cannot win its war” and will have to support Kyiv.
“Finland has increased ammunition production [by] “Five times. This should happen throughout the EU,” he said, citing the growth in arms production “shared business opportunities, but also shared security” for the political bloc.
In February, Finnish authorities set a goal of increasing production of artillery ammunition at the Nammo Lapua plant, which the Finnish state jointly owns with Norway, fivefold.
According to the Defense Ministry, Helsinki has long-term plans to expand its arms industry and double its ammunition production capacity by 2027. The expected investment was announced last December and is estimated at €120 million ($132 million), of which the Finnish government will provide about €24 million.
Part of the funding comes from the EU through the ASAP (Act in Support of Ammunition Production) fund. The Nammo Lapua plant has received €22.5 million from the EU to increase production of 155mm shells, and another €10 million will be invested in the Nammo Vihtavuori gunpowder plant, the ministry announced in March.
The Finnish government is also considering building a new plant to produce military explosives.
During a press conference, both prime ministers praised Kyiv's ongoing invasion of Russia's Kursk region, saying it was justified by Ukraine's right to self-defense.
Moscow has described the ongoing conflict in Ukraine as a U.S.-led proxy war against Russia waged by NATO countries. Finland joined the military bloc last year, breaking with a tradition of defensive neutrality it has maintained since the end of World War II.