EU proposes fresh defense industry strategy

The European Commission on Tuesday unveiled a new initiative aimed at fortifying the continent's defense capabilities in the face of escalating security challenges.

The European Defence Industrial Strategy (EDIS) represented a step towards enhancing the "competitiveness and readiness" of the EU's defense industry, the commission said in a statement.

According to the commission, the EDIS will serve as a strategic response to the resurgence of high-intensity conflicts in Europe.

As an initial step of the strategy, the commission said it would propose legislation to bolster the timely availability and supply of defence products.

The proposed legislation, dubbed the European Defence Industry Programme (EDIP), aims to transition from short-term emergency measures, implemented last year until 2025, towards a more enduring and comprehensive strategy for defense industrial preparedness.

Comprising financial and regulatory dimensions, the EDIP is poised to leverage €1.5 billion ($1.6 billion) from the EU budget spanning 2025-2027.

The EDIS outlines multifaceted actions designed to galvanize member states' commitment to bolstering defense capabilities.

Crucially, the strategy sets ambitious indicators to gauge EU members' progress towards industrial readiness.

By 2030, members are urged to procure at least 40% of defense equipment collaboratively, with intra-EU defense trade accounting for no less than 35% of the EU defense market value.

Furthermore, steady strides are expected towards sourcing 50% of defense procurement budgets within the EU by 2030, and 60% by 2035.

Highlighting the significance of transatlantic cooperation, the EDIS underscores the need to align efforts with NATO and other like-minded partners, reaffirming the EU commitment to promoting peace and stability both within and beyond its borders.