In search of financial ambition for the European defence industry
While defence issues have long remained absent or neglected within European cenacles, Russia’s war of aggression against Ukraine forced the EU and its Member States to increase defence spending and cooperation in their defence industry, civilian crisis management and military mobility. Besides the ongoing war on the European territory, diverse threats in nature and geographical origin and the necessity to strengthen the European strategic autonomy bring the EU to reflect on its defence strategy and in particular to heavily support its defence industry in a context of fierce international competition.
European defence companies deserve an ambitious political and financial support. There is a need to spend more but above all to spend better together. Upholding competitiveness and innovation as well as boosting manufacturing capacities in line with our geopolitical priorities is challenging in a context where national approaches may diverge and access to private funding is not always granted. In addition, the scarce budgetary European resources represent another obstacle to an ambitious support to our defence industry.
Hence, several questions arise on the type of regulatory or financial instruments that shall be mobilised to support the European defence industry: how to assess the contribution of the existing European budgetary instruments to the defence industry? Could the defence industry be in the scope of a future European sovereignty fund? What about the role of public investors in financing dual-use infrastructure? How to bring private investors to invest in European defence companies? How could the currently discussed Common Procurement Act to reinforce the European Defence Industry (EDIRPA) support our companies?
Panel discussion :
- Emilio Fajardo, Director in charge of Industry, Synergies and Enablers, European Defence Agency
- Malwina Nowakowska-Ketterle, Deputy Head of Unit Defence Industry and Market Policy, Directorate General for Defence Industry and Space (DG DEFIS), European Commission
- Raymond Levet, Technical Director, Direction général de l’Armement, French Defence Ministry
- Gunnar Muent, Director General, EIB Projects, European Investment Bank
- Charles Dijon de Monteton, Head of Business Development Europe, Rheinmetall
- Laurent Zylberberg, Chairman of the European Association of Long-Term Investors (ELTI)
Garance Galliaerde, email@example.com