Kundziņsala - The New Industrial Centre of Riga

(Freeport of Riga) At least seven new companies - cargo terminals, logistics centres, energy companies and smart manufacturing plants - will start operations in Kundziņsala in the coming years, creating close to 800 new jobs and bringing the total investment to at least EUR 500 million. Thus a future business environment will be created where sustainable energy, modern industry and smart logistics may develop together.

The construction of the first renewable fuel production plant in the Baltic States for hydrotreated vegetable oil (HVO) and sustainable aviation fuel (SAF) will start in Kundziņsala, the most dynamically growing area of the Port of Riga. With an investment of €120 million and the creation of 120 highly skilled jobs, Amber Flow Fuels company will start producing innovative, high value-added products as early as 2027, promoting Latvia's climate neutrality and Green Deal goals.

The transformation of the Kundziņsala area into the new Riga port centre involves the implementation of several large-scale industrial projects in the green energy production segment. The manufacturing of renewable energy products with high added value and in high demand is one of the cornerstones of the future development of the Port of Riga. Simultaneously, Latvia's export capacity and energy independence are being significantly strengthened. The Amber Flow Fuels production facility in the Port of Riga will provide 100% of the required SAF for the Baltic market. 70% of the produced SAF will be exported, increasing Latvian exports by at least EUR 150 million.

Operating in line with the global energy transformation, the Port of Riga is developing an ambitious wind technology manufacturing complex in Kundziņsala. With co-financing from the European Regional Development Fund and the State, an appropriate industrial area will be created in the northern part of Kundziņsala by 2029 with the aim to develop production facilities for offshore and onshore wind technologies and components.

Viktors Valainis, Minister of the Economy: “Kundziņsala is not just a place on the map - it is Latvia's ambition to become the crossroads of smart industry in Europe. We are not just transforming the port - we are transforming the way we think about how to develop Latvia. This project shows that the state, local government and business together can create a modern, sustainable and internationally competitive environment. The role of the Ministry of Economy is not only to promote investment, but to ensure that it actually is converted into jobs, exports and added value for the Latvian economy.”

By leasing the Kundziņsala site to companies producing wind energy technology components, it is planned to secure exports of €160 million, create 650 jobs and pay at least €7.8 million in taxes annually.

The Port of Riga has been a close strategic partner of NATO for several years and is developing an important Latvian national security and military mobility point on the territory of Kundziņsala. Several military mobility projects have been implemented in Kundziņsala with the co-financing of the European Climate, Infrastructure and Environment Agency (CINEA).

The construction and modernisation of Kundziņsala's road, rail and quay infrastructure has increased the military cargo handling capacity and improved the port's connectivity with the Ādaži military base. The capital company of the Freeport of Riga Authority, LVR Flote, with CINEA co-financing, has purchased a new multi-purpose hybrid propulsion vessel - icebreaker, which, in addition to the basic port maintenance functions, provides military support to the Latvian Border Guard and Coast Guard services.

In cooperation with the Riga City Council and with the co-financing of the EU Cohesion Fund, a new traffic overpass from Sarkandaugava to Kundziņsala is currently under construction and is planned to be commissioned in 2026. The overpass will provide a direct connection between Kundziņsala and the arterial road network of Riga, improving the mobility of freight and military transport to/from the port terminals. At the same time, the future overpass, together with the Eastern Motorway, will significantly reduce the flow of trucks via the city centre, relieving the traffic infrastructure of Riga and reducing the port’s environmental impact.

One of Europe's most advanced port control points is being built to ensure efficient road and pedestrian access to Kundziņsala and to develop a digitised and automated logistics infrastructure that meets the requirements of the port's clients. It will provide six lanes of car traffic, digital cargo data flow, machine vision solutions for vehicle and person identification, and integration with the information systems of the Control Services into a single port secure access solution.

Kundziņsala is the container logistics centre of the Port of Riga. 72% of all sea containers in Latvia are handled here and six of the nine active port companies in Kundziņsala are involved in containerised cargo handling. The Port of Riga's most technologically powerful container and bulk terminals, as well as modern warehouses and logistics facilities, are already operating in Kundziņsala. Several of these companies are currently constructing new cargo yards and warehouses to further diversify their terminals and meet the growing demand for bulk storage and container handling capacity.

“The paradigm of thinking about ports needs to change. They have always been a strategic asset for any country and shall be used wisely for the growth of the country and the city. The Port of Riga is an important instrument of the country's economic security, providing a reliable corridor for exports and imports, as well as an appropriate location for critical production facilities for the sustainability of the EU economy. The Port of Riga understands its role in the context of national military security, systematically developing and strengthening military mobility capabilities and creating alternative supply corridors. At the same time, the port also contributes to the country's energy sustainability by attracting investments for the production of wind technology components, alternative fuels and other innovative products related to green energy,” said Ansis Zeltiņš, the Freeport of Riga CEO.

Today (July 17, 2025), the responsible ministers, Riga City Council officials, businessmen and media representatives have paid a special visit to Kundziņsala, to learn more about the ambitious development vision of Kundziņsala, the projects implemented so far and planned for the near future, making this area the new gateway for the development of the Port of Riga. READ MORE