European Commission President Ursula von der Leyen has unveiled a new proposal, ReArm Europe, aiming to boost defence spending in the bloc over the next four years, with a potential €800 billion injection into the defence sector. The plan includes a joint Task Force with Ukraine and a European Military Sales Mechanism to strengthen Europe’s defence industrial base.
Von der Leyen outlined four priorities for defence investments: increasing support for Ukraine, strengthening Europe’s defence industry, improving air and missile defence capabilities, and enhancing military mobility. She emphasized the need for investment in Europe, stating that most defence spending currently goes outside the region.
The proposal also includes a new instrument to raise money on capital markets to loan to member states for defence projects. EU leaders have given their backing to the plan at an extraordinary summit, with a two-day summit kicking off in Brussels next week. A late June summit will focus on discussing the White Paper for Defence, which outlines priorities and financing mechanisms.
Von der Leyen stressed the importance of converting funding into concrete actions, saying “Financing is an important first step, but we need to take action now.” She highlighted that Europe must be able to defend itself and set a clear goal to strengthen its defence posture by 2030. The EU is also committed to working with NATO and the US on security matters.
However, there are concerns about Washington’s continued commitment to European defence, particularly regarding Greenland, which Trump has suggested could be taken by force over national security grounds. Von der Leyen assured that Europe will always stand for sovereignty and territorial integrity.
Source: https://www.euronews.com/my-europe/2025/03/18/commission-to-propose-eu-wide-mechanism-to-pool-member-states-defence-orders