Common defence procurement
The EU facilitates common procurement through different initiatives. Cooperation between member states on defence procurement brings greater efficiency and cost savings.
Why is common procurement needed?
Cooperation between member states on defence procurement is crucial to tackle the fragmentation of European defence markets and the unnecessary duplication of capabilities, organisation and expenditure.
Common procurement refers to the practice where two or more member states jointly purchase goods or services to achieve:
- more efficient public spending
- cost savings
- increased solidarity
- improved interoperability
Common procurement helps increase the economies of scale of member states’ procurement procedures, thereby making the European defence technological and industrial base more competitive and more efficient.
Defence procurement has become even more relevant lately in the wake of a radically changed security situation in Europe, following Russia's military aggression against Ukraine.
The EU supports cooperation between member states on defence procurement through a number of initiatives such as the:
- Security Action for Europe
- European defence industry programme
- instrument for the reinforcement of the defence industry through common procurement
- defence procurement directive
Security Action for Europe
Through the Security Action for Europe (SAFE) instrument, the EU is providing financial assistance in the form of loans worth up to €150 billion. The assistance aims to help EU member states make rapid and significant increases in their defence investments through common procurement.
The regulation setting up the SAFE instrument entered into force on 29 May 2025.
It is the first pillar of the ReArm Europe plan/Readiness 2030 presented by the European Commission in March 2025.
What is Security Action for Europe (SAFE)?
European defence industry programme
On 8 December 2025, the Council adopted the European defence industry programme (EDIP). Through EDIP, the EU is providing €1.5 billion in the form of grants to boost Europe's defence readiness for the period 2025-2027.
EDIP is funded by the European Union through its long-term budget (the multiannual financial framework 2021-2027). One of the pillars of EDIP is common procurement.
European defence industry programme
Reinforcement of the defence industry through common procurement
On 19 October 2023, the regulation establishing an instrument for the reinforcement of the European defence industry through common procurement (EDIRPA) entered into force.
This new instrument incentivises member states to procure defence products jointly and is worth €300 million.
EDIRPA is funded by the European Union through its long-term budget (multiannual financial framework 2021-2027).
The regulation sets out clear conditions to ensure that the European defence industry benefits from the instrument. For example, contractors and subcontractors:
- must be established and have their executive management structures in the EU or an associated country (Iceland, Liechtenstein or Norway)
- may not be controlled by a non-associated third country
At the same time, at least 65% of the end-products’ components must originate in the EU or an associated country, and member states may only procure products that are not subject to any restrictions by non-associated third countries that would limit their ability to use them.
Defence procurement directive
The EU directive on defence and sensitive security procurement entered into force on 14 July 2009.
The directive sets out European rules for the procurement of arms, munitions and war material, as well as related works and services, for defence purposes. It also sets out rules for the procurement of sensitive supplies, works and services for security purposes.
The rules:
- are adapted to the specificities of defence procurement
- enhance transparency and openness in defence markets between EU countries
- ensure that individual countries’ security interests are protected
See also
European defence readiness
EU funding for defence
National escape clause for defence expenditure
Last review: 18 February 2026