The EU has approved a program with 1.5 billion euros to expand the production and supply chains of defense goods. Of this, 300 million euros will go toward collaboration with Ukraine. The initiative aims to enhance the EU's defense readiness.
The EU Council announced on Thursday that the program will promote the European defense industry. According to the agreement with the European Parliament, the 1.5 billion euro budget covers the period from 2025 to 2027. In addition to improving the EU's defense readiness, it aims to 'support cooperation with Ukraine in the defense industry sector'.
EU Commission President Ursula von der Leyen welcomed the agreement on the European Defence Industry Programme (EDIP) as an important step toward an EU that is 'defense-ready by 2030'. Negotiations had long been uncertain about whether European arms companies should be prioritized. Some member states wanted to use the funds to purchase materials outside the EU, particularly from the US.
The agreement now allows a maximum share of 35 percent for materials purchased outside the EU. Currently, the EU sources more than 60 percent of its weapons from non-member states, mostly from the US. Brussels aims to reduce this share to 45 percent.