Fincantieri and Albania’s KAYO form joint venture to build naval vessels at Pashaliman base
Italian shipbuilder Fincantieri and Albania’s KAYO have set up a joint venture to build and maintain vessels in Albania, a move the government cast as part of efforts to modernise military infrastructure and deepen ties within NATO. The agreement was signed in the presence of the Albanian prime minister and defence minister, as well as the CEOs of Fincantieri and KAYO, according to government and company statements.
“This partnership paves the way to produce naval vessels in Albania, not only for the country’s needs but also for export to international markets,” a government statement said. Defence Minister Ermal Nufi said the cooperation would make Albania a new European base for Fincantieri to build small and medium-sized vessels.
The project includes establishing a construction site at the Pashaliman naval base in southern Albania, with about 400 jobs expected. KAYO, which specialises in strategic industrial infrastructure and is controlled by the Albanian Defence Ministry, will hold 49% of the new venture while Fincantieri will hold 51%, the company said on its website.
No financial details were disclosed and no start date for work was provided. Albania has been a NATO member since 2009, and officials stress that its Mediterranean location gives it strategic weight beyond its size. For Fincantieri, the collaboration offers access to wider markets.
The joint venture positions Albania to expand domestic naval production and potential exports, though key timelines and financing details remain to be announced.