France and Germans collide with weapons “Buy the EU”

Reflect the editor’s summary for free

Khalaf, FT editor, chooses his favorite stories in this weekly newsletter.

The proposed injection of EUR 150 billion to the EU defense industry has become a new inflammatory point in the long -term battle between France and Germany, the voltage of the continent and whether the countries from outside the block should include.

In Europe, issued by the threats of US President Donald Trump for generations of American protection defense Expenses dramatically and increase their national capabilities, which have withered since the Cold War.

Last week, the European Commission proposed a meeting of EUR 150 billion, which would be borrowed to tables to increase their military production. While a wide idea received unanimous political support, the details are still developed, with a heavy lobby about whether cash can be spent on the shoulders outside the block.

During the EU summit on Thursday, several leaders, including the German Chancellor Olaf Scholz, said that the initiative should be open to similar -thinking partners from outside the EU. “It is very important to us that the projects that can be supported are open. . . Countries that are not part of the European Union, but work closely, such as Great Britain, Norway, Switzerland or Türkiye – said Scholz.

However, the French President Emmanuel Macron, who has long been supporting the growing European autonomy and increasing domestic industrial production, said that “expenses should not apply to a new set that is not European once again.”

In the case of gaps in critical European possibilities-in this air defense, long-range strikes, intelligence, recognition and aiming-“the method is identifying the best businessmen and companies we have,” he added.

He also said that every EU Member State would be asked to “re -examine the orders to check whether European orders could be prioritized.”

Diplomats from Brussels are afraid that the initiative worth EUR 150 billion will be derailed the same argument that delayed consent to over a year of the European Defense Industry Program, EUR 1.5 billion fund, which deprived defense funds. Efforts aimed at stopping it this winter after Paris demanded a restriction on what proportions can be spent on Extrauree components and prohibiting products with IP protection against third countries.

Officials of the Higher Commission, whose task is to develop a detailed proposal over the next 10 days, were called for close cooperation with Paris, Berlin and other capitals to make sure that it is not blocked when they are extended to approve by the Member States.

“You have to do a lot of work on it. It did not exist a week ago and must be ready in less than two weeks, “said the EU official. “Compromises will be made.”

The President of the Commission Ursula von der Leyen said that loans that will be focused on seven key possibilities, including air and rocket defense, artillery and drones, “will help the Member States in combination of demand and purchase”, and also provide “direct military equipment for Ukraine.”

The Polish government, which currently has a rotating EU presidency and is designed to conduct a block of ministerial block, will be under pressure from a quick agreement. The initiative can be approved by most 27 EU states, but the French entry is perceived as necessary, even if the country can be equipped-as the Edif precedent shows.

“We are at the stage where it should be simply sorted in the name of speed, not perfection,” said the EU diplomat involved in negotiations. “But if the reluctance to combat EUR 1.5 billion in the past French reservations, how do we expect that we will do EUR 150 billion?”

The commission refused to comment.