EU Commits €300M for Joint Defense Procurement Projects

The European Union has allocated €300 million for joint defense procurement projects, with €60 million each for five initiatives, including armoured vehicles, air defense systems, and artillery ammunition, to strengthen the defense capabilities of its member states.

“For the first time, the European Union has released €300 million to finance joint procurement projects of its member states,” German defense ministry said in an official statement.

These funds support the Patria armoured vehicle from the Finnish-led Common Armored Vehicle System (CAVS) program and the IRIS-T SLM air defense system, part of the European Sky Shield Initiative. The procurement will enhance the interoperability of European armed forces and benefit the European arms industry.

Germany, along with Bulgaria, Slovenia, Estonia, and Latvia, will procure the IRIS-T SLM system, developed by the German technology group Diehl. This collaboration will also enable joint training and logistics. The initiative aims to improve production efficiency and reduce national variants.

The EU plans to have member states jointly procure 40% of defense equipment and spend half of their defense budgets on European-made products by 2030.

Future projects, including joint procurement of the Leopard 2 A8 battle tank, are also underway.