EU Allocates Millions to Expand Defense Manufacturing Capacity
(MENAFN) The European Commission has allocated €168.2 million ($188.2 million) to eight projects designed to strengthen Europe’s defense manufacturing capabilities under the European Defense Industry Program.
The initiative is expected to attract an additional €1.26 billion in industrial investment, supporting efforts to expand production capacity for energetic materials and components used in missiles, drones and ammunition. The funding aims to help manufacturers increase output and improve the availability of essential defense supplies across participating countries.
The projects are scheduled to become operational from 2027 and are expected to significantly accelerate manufacturing processes, with production times potentially reduced by up to 90%.
Once fully operational, the facilities are projected to produce more than 20,000 tons of energetic materials annually, alongside 3,500 propulsion systems for drones and missiles, 200,000 warheads for loitering munitions and 60 million rounds of ammunition.
The planned investments will span 17 production sites across 14 EU member states and Norway. In addition to expanding manufacturing capabilities, the projects will strengthen the protection of production facilities against increasing physical and cyber threats.
The funding forms part of broader European efforts to reinforce defense industrial capacity and address vulnerabilities in ammunition supply chains. By supporting new and expanded production facilities, the program seeks to improve manufacturers’ ability to meet rising demand for military equipment and related materials.
The initiative builds on the EU’s Act in Support of Ammunition Production, an emergency mechanism introduced to tackle manufacturing bottlenecks and increase ammunition output following the outbreak of the war in Ukraine.
Through the latest allocation, the European Commission aims to support long-term industrial expansion while improving the resilience and security of Europe’s defense production network.
The initiative is expected to attract an additional €1.26 billion in industrial investment, supporting efforts to expand production capacity for energetic materials and components used in missiles, drones and ammunition. The funding aims to help manufacturers increase output and improve the availability of essential defense supplies across participating countries.
The projects are scheduled to become operational from 2027 and are expected to significantly accelerate manufacturing processes, with production times potentially reduced by up to 90%.
Once fully operational, the facilities are projected to produce more than 20,000 tons of energetic materials annually, alongside 3,500 propulsion systems for drones and missiles, 200,000 warheads for loitering munitions and 60 million rounds of ammunition.
The planned investments will span 17 production sites across 14 EU member states and Norway. In addition to expanding manufacturing capabilities, the projects will strengthen the protection of production facilities against increasing physical and cyber threats.
The funding forms part of broader European efforts to reinforce defense industrial capacity and address vulnerabilities in ammunition supply chains. By supporting new and expanded production facilities, the program seeks to improve manufacturers’ ability to meet rising demand for military equipment and related materials.
The initiative builds on the EU’s Act in Support of Ammunition Production, an emergency mechanism introduced to tackle manufacturing bottlenecks and increase ammunition output following the outbreak of the war in Ukraine.
Through the latest allocation, the European Commission aims to support long-term industrial expansion while improving the resilience and security of Europe’s defense production network.
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