European Parliament analysis questions whether the EU under Readiness 2030 will transform its defence spending—culminating in an EUR 800 billion capability gap closure by 2030—into a coordinated industrial powerhouse rather than fragmented national efforts. After decades of underinvestment exposed by Ukraine, Brussels now outlines a narrower ReArm Europe agenda: joint procurement targets (40% by 2030), SME financing via the Savings and Investment Union, and EIB mandates scaling to EUR 240 billion in extra investment, avoiding letting “non-EU suppliers” like the US dominate 78% of procurement.
Rapporteur Christophe Gomart’s priorities shift from broad NATO 2% pledges to concrete, EU-centric pacts, including EUR 115.7 billion for defence-space under the next MFF (fivefold increase) and EUR 15.7 billion for dual-use military mobility. These blend equipment procurement (up 39% to EUR 88 billion in 2024), R&D (EUR 13 billion), and EDTIB support for 580,000 direct jobs, producing templates for strategic autonomy amid tech rivalry and hybrid threats. This approach could mobilise fragile SME chains but risks sidelining fiscal hawks if EIB AAA ratings or national budgets constrain scaling.
For diplomats in Berlin, the stakes are immediate: an EU-led defence bloc covering 27 Member States sets templates for eastern-flank resilience (drones, air shields), Ukraine support, and industrial de-risking from non-EU dependencies—vital for Germany’s exports and supply chains. Success hinges on whether Brussels leverages the ReArm plan for targeted wins—or lets fragmentation overshadow progress on gaps hitting European deterrence hardest. For Berlin, Readiness 2030 will shape how the EU deploys financial-security tools that directly affect national industries and transatlantic ties.
Know more on the European Parliament’s website.