EU too dependent on US for defense gear, report finds

The European Union is buying too much of its defense equipment from the United States and not investing enough in its own military projects, a new report by former Italian Prime Minister Mario Draghi warned Monday. The report says nearly two-thirds of EU defense orders went to U.S. companies, and criticizes EU nations for failing to work together to strengthen their own defense industry. This comes as the EU struggles to arm Ukraine while building up its own military capabilities.

The report shows that between mid-2022 and mid-2023, 63% of EU defense orders were placed with American companies, while only 15% went to other non-EU suppliers. In 2022, the EU spent just 10.7 billion euros ($11.8 billion) on defense research and development—only 4.5% of its total defense budget—compared to $140 billion, or 16%, spent by the U.S. Draghi’s report urges EU countries to focus more on joint defense projects to build up their own industry and reduce dependence on foreign suppliers.

The report also highlights issues caused by the EU’s fragmented approach to defense buying. When Ukraine requested artillery, EU countries provided 10 different types of howitzers, leading to supply problems. In contrast, joint projects like the A-330 Multi-Role Tanker Transport plane have allowed countries to share costs and resources more effectively. Draghi's report calls for the EU to better coordinate defense spending to become more self-sufficient and less dependent on the U.S.

[With information from AP News]