EU approves €1.5 billion program to support European and Ukrainian defense industries
This was reported by the European Commission’s press service, according to a Ukrinform correspondent.
“EDIP tackles pressing challenges in European defence and security by boosting industrial production capacities, reinforcing cooperation with Ukraine, strengthening joint European procurement and developing European defence projects of common interest, marking a significant step in the EU's efforts to improve Europe's security,” the press release states.
In particular, over 700 million euros is being allocated to increase the production of key defense components and products, including anti-drone systems, missiles, and ammunition. This includes €260 million under the Ukraine Support Instrument (USI) for investment in joint projects, which will help increase production capacity in both Ukraine and Europe.
325 million euros are earmarked for European Defence Projects of Common Interest (EDPCI). These projects are also open to Norway and Ukraine.
EU member states and Norway have allocated 240 million euros for the joint procurement of defense equipment, including counter-drone capabilities, air and missile defense systems, and land and naval combat systems. Consortia of procurers may apply for grants of up to 20 million euros per project.
Defense startups, including small and medium-sized enterprises and small mid-cap companies, will receive 100 million euros in support through the Fund Accelerating Defence Supply Chains Transformation (FAST). As part of the BraveTech EU initiative, a new defense innovation program will receive an additional €35.3 million from the USI to support Ukrainian and European industry and stimulate innovation to address the urgent challenges faced by the Ukrainian Armed Forces.
The first EDIP calls for proposals will be available on the EU Funding and Tenders Portal starting March 31, 2026.
As reported, the European Defense Industry Program (EDIP) was adopted on December 8, 2025. It is one of the initiatives the EU has launched to enhance its defense readiness and modernize the defense industry. The program provides for grants totaling €1.5 billion for the 2026–2027 period.