Germany’s parliament approved a constitutional amendment on Tuesday to increase defense spending, passing the measure by a 512 to 206 vote. The decision, backed by the Green Party and the incoming coalition of conservatives and social democrats, enables a new €3 billion aid package for Ukraine. Incoming Chancellor Friedrich Merz, who previously opposed government debt, led the effort amid growing European military investment following Russia’s invasion of Ukraine. The European Union is also preparing loans worth approximately €150 billion for military expenditures, which could support up to €800 billion in new defense investments. This shift marks Germany’s deeper commitment to strengthening military capabilities in cooperation with European allies.
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Engine maker Renk opens shop in Italy ahead of armor spending frenzy
- Veiko Lukmann
- 24/10/2024
- 0
German propulsion company Renk is establishing a subsidiary in La Spezia, Italy, shortly after Rheinmetall and Leonardo announced plans to build tanks and infantry fighting vehicles for the Italian army in the same city. Renk sees La Spezia as a strategically important location, placing it closer to Italian customers and partners. The move positions Renk to potentially benefit from the Italian army’s massive €23 billion ($25 billion) vehicle order. The company, which generated €926 million in revenue in 2023, specializes in gear units, transmissions, power-packs, and hybrid propulsion systems. La Spezia is also home to Leonardo’s long-standing tank production operations. […]
European next-generation rotorcraft programme moves closer to reality through new MoU
- Veiko Lukmann
- 22/10/2024
- 0
Launched in 2020, the NATO-managed Next Generation Rotorcraft Capability (NGRC) program aims to replace medium multi-role helicopters reaching the end of their life cycle by 2035. Five European nations—France, Germany, Italy, the Netherlands, and the UK—signed a Memorandum of Understanding (MoU) to advance the program, with concept design work expected to start in 2026. The countries aim to select a single replacement solution by 2027, targeting development by 2030. In 2024, NATO’s Support and Procurement Agency (NSPA) awarded contracts to Airbus, Leonardo, and Sikorsky for integrated platform concept studies, with final reports due in October 2025. The NGRC will replace […]
German cartel office approves Rheinmetall, Leonardo joint venture
- Veiko Lukmann
- 21/01/2025
- 0
Germany’s cartel office has approved the establishment of a joint venture between Rheinmetall and Italy’s Leonardo, as announced in a statement on Monday. The collaboration, initiated last October, aims to develop and manufacture military combat vehicles, marking a significant step toward consolidating the European defense sector. Cartel office president Andreas Mundt emphasized the importance of both companies in the defense industry but noted no competition concerns arose from the joint venture. The approval was granted quickly, reflecting the strategic significance and compatibility of the partnership. This development highlights ongoing efforts to strengthen European defense capabilities through collaboration. Original news