EU defence partnership

EU Emphasizes Transatlantic Defence Partnership While Addressing Dependency

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The EU plans to strengthen its transatlantic partnership on defence, a senior Commission official stated on Monday. However, the long-term goal will be to reduce dependency on foreign suppliers for the bloc’s security needs. Andrius Kubilius, the EU’s first Commissioner for Defence and Space, emphasized this during remarks on Tuesday.

Kubilius cited growing threats from authoritarian regimes like Russia, Iran, North Korea, and China as reasons for democracies to unite. Speaking at an event organized by the American Chamber of Commerce to the EU, he called for a “Big Bang” overhaul of Europe’s defence sector. In the short term, non-EU suppliers, including the US, will remain crucial partners. Over the long term, the EU must ensure investment and independence in its defence capabilities.

Dependency and New Defence Policies

Between February 2022 and mid-2023, 75% of publicly announced EU defence sector orders came from non-European suppliers. Guillaume de La Brosse, head of the EU defence industrial policy unit, acknowledged this dependency as a significant issue. He highlighted the need for a strong transatlantic partnership while addressing the imbalance to ensure sustainable investments.

The European Defence Industry Programme (EDIP), a proposed €1.5 billion initiative, seeks to encourage local sourcing of components. Negotiations are underway to require at least 65% of components for defence projects to come from within the bloc. French companies have advocated for an even stricter threshold of 80%. Despite this push, some member states, including Poland and the Netherlands, argue for greater flexibility in allowing foreign companies access to EU funds.

The Hungarian presidency aims to finalize an agreement on EDIP by year’s end. Ambassadors are set to discuss the programme’s criteria again tomorrow. The EU insists the programme is not protectionist, with de La Brosse clarifying that member states remain free to procure equipment from non-EU suppliers.

Industry and Member State Tensions

In late September, 28 European defence companies, including Airbus, Leonardo, SAAB, Rheinmetall, and Indra, called for more targeted EU funding. They urged restrictions on funding to products sourced predominantly within the EU. However, disagreements persist, as some countries demand a balance between supporting domestic industries and cooperating with international suppliers.

The signatories clarified their position, stating that this approach would not prevent cooperation with non-EU partners like the UK. They aim to ensure that EU funds prioritize domestic industry while allowing member states procurement flexibility. De La Brosse reaffirmed that the Commission’s goal is to reduce dependency and justify defence spending to taxpayers, maintaining strong partnerships with like-minded allies.