Procurement of F-35s, A400Ms, 212 CD Submarines Part of Germany’s €34.9B Budget for 2024

Germany plans to spend €34.9 billion on defense projects this year, encompassing the acquisition of F-35 combat jets, A400M airlifters, and 212 CD submarines, with additional allocations for the development of next-generation drones, battle tanks, and fighter aircraft.

In response to the seismic shift in Europe's security landscape following Russia's attack on Ukraine, the German Ministry of Defense presented its 18th Armaments Report on January 29. The turning point in security policy prompted by Russia's actions has led to a reassessment of the Bundeswehr's equipment and procurement priorities. The overarching goal is to make the Bundeswehr materially fit for war, with a particular emphasis on closing capability gaps and enhancing national and alliance defense, as stated in a German Bundeswehr statement.

The 18th Armaments Report highlights a total budget of €34.9 billion allocated for the defense sector in 2024. A significant aspect of the financial foundation is the Bundeswehr's special fund, valued at €100 billion. For the year 2024, €19.2 billion will be drawn from this fund for procurement, ensuring the financing of numerous vital and complex projects.

The breakdown of the 2024 defense budget includes €15.7 billion allocated in individual plan 14, covering procurement (€2.8 billion), material maintenance (€6.9 billion), operator solutions (€4.8 billion), and defense research (€1.2 billion). Notably, approximately €22 billion will be invested solely in the procurement of weapon systems, military equipment, and ammunition.

The 18th Armaments Report spotlights 19 key armaments projects for 2024, encompassing a range of critical defense capabilities. These include NATO helicopters (90 TTH, 90 NTH - Sea Lion, 90 MRFH), the Tiger attack helicopter, Heavy Transport Helicopter, Eurofighter with AESA, F-35A Lightning II, A400M transport aircraft, and advanced naval assets like Submarine Class 212, Corvette Class 130, and Class 126 frigate. Emerging technologies, such as the Euro drone, GTK (Boxer Heavy Weapons Carrier), and Puma armored personnel carrier, are also prioritized. The report highlights a commitment to maintaining and advancing capabilities with projects like Capability retention patriot, Main Ground Combat System (MGCS), and Future Combat Air System (FCAS).

With defense spending exceeding 2% of the gross domestic product in 2024, Germany is set to meet the NATO target.

As for the F-35 procurement, recent reports suggest that Greece is anticipating receiving a draft letter of acceptance from the United States for its request to purchase F-35 fighter jets next week, following the official request submitted in June 2022. Approval of the request is a crucial step in a multi-stage process, and Athens expects jet deliveries to commence in 2027-2028.