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ReArm Europe Announced: The 800 Billion Plan for European Defense

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The President of the European Commission, Ursula von der Leyen, presented the plan called ReArm Europe, two days before the extraordinary summit on defense, scheduled for March 6. The Plan provides resources for 800 billion, as well as 150 billion usable for additional financing for member states.

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The Commission's decision was announced a few hours after the US President announced that he was suspending military aid to Ukraine. The halt will affect not only new weapons, but also orders for ammunition, weapons and other resources already ready for delivery, worth $1 billion.

Trump He said that the blockade of American resources will continue until Kiev demonstrates its intentions to restore peace with Russia, although he did not specify what this means in practical terms.

The resources earmarked for the ReArm Europe plan will therefore be useful not only for the defense of the member states, but also for future support to the Ukrainian people. The President of the European Commission stated that: “if member states increased their defense spending by 1,5% of the Gross Domestic Product on average, this could create a fiscal space of about 650 billion euros over a period of four years”.

The European Union “will provide €150 billion in loans to member states for defense investments,” for a total of €800 billion. “It’s fundamentally about spending better and spending together. We’re talking about pan-European capability domains such as air and missile defense, artillery systems, missiles and munitions, drones and anti-drone systems.

But also to meet other needs from cyber mobility to military mobility, for example. This will help member states to pool demand and buy together. And of course with this equipment member states can significantly increase their support to Ukraine. So immediate military equipment for Ukraine.

This joint procurement approach will also reduce costs. It will reduce fragmentation, but it will increase interoperability and, of course, it will strengthen our defense industrial base.”

Marcus Barbatus


Article published on March 4, 2025 - 14pm

Comments

  1. The ReArm Europe plan seems interesting, but I am not sure that these 800 billion are enough. Also, I wonder how the 150 billion for the member states will be used and if this will really help Ukraine.

  2. I agree that the situation is complex, but it seems to me that the plan could bring long-term benefits. Let's just hope that there are adequate controls on how the funds are spent.

  3. I don't know if it's right to spend so much money on armaments. Maybe it would be better to invest in peace initiatives and dialogue between nations, instead of increasing tension.

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