WELCOME
WINDS OF CHANGE
As the war in Ukraine grinds into its third winter, Kyiv and its partners face a test of their resolve, preparedness, and commitment to European security. Russia’s deployment of the Oreshnik, a ballistic missile capable of carrying nuclear warheads, appears calculated to stoke fear.
For the first time in more than half a century, the Swedish government has issued public information leaflets instructing households on what to do in the event of war. Meanwhile, Russia’s recent missile barrages targeting Ukraine’s energy infrastructure have already left millions without power.
Europe’s reliance on U.S. military leadership also faces a moment of reckoning, with U.S. President Donald Trump returning to the White House. His past criticisms of NATO and demands for even greater European defence spending remain unresolved.
In response to Russian aggression, European Union nations are ramping up their defence budgets, with a projected collective spend of €326 billion in 2024. In this edition of European Defence Matters, we hear from Polish armaments company PGZ about Poland’s emergence as a leader, setting a target of 4.7% of GDP for defence in 2025. Across the EU, defence investments are expected to reach a record 31% of total defence expenditure, with research and technology spending rising to €5 billion in 2024.
However, the spectre of fragmentation continues to haunt European defence efforts. As outgoing Head of Agency Josep Borrell writes, too much goes on off-the-shelf purchases from non-European suppliers, undermining attempts to strengthen Europe’s Defence Technological and Industrial Base (EDTIB).
Still, there is much progress to celebrate.
EDA’s Director of Capability, Armament & Planning (CAP) Stefano Cont highlights how the EU’s ‘State of the Union’ on defence has broken new ground by fostering collaboration among Member States in areas such as air and missile defence, loitering munitions, electronic warfare, and a possible new combat vessel.
EDA Chief Executive Jiří Šedivý reflects on the Agency’s expanding role, while European Investment Bank Vice President Robert de Groot examines the evolving partnership between EDA and the EIB in defence financing. We also mark the 10th anniversary of EDA’s counter-IED laboratory, and look to the future, drawing insights from the Strategic Review of Permanent Structured Cooperation (PESCO).
Finally, we warmly welcome former Estonian Prime Minister Kaja Kallas as the new Head of the European Defence Agency, Nathalie Guichard as its new Director of Research, Technology, and Innovation (RTI), and Sean White as its new Director for Industry, Synergies, and Enablers (ISE). All three bring a fresh vision for innovation and unity at a time when the stakes could scarcely be higher.