Berlin Pushes ‘Europe First’ in Defence Spending Shift

Germany is preparing to redirect as much as €83 billion toward European-made weapons, a pivot away from heavy reliance on the US defence industry. 

The German government has mapped out 154 procurement projects between September 2025 and December 2026, with only 8% allocated to US suppliers. Chancellor Friedrich Merz has framed the shift as part of building Europe’s strongest conventional armed force, a move that comes amid Donald Trump’s push for NATO partners to lift defence spending to 5% of GDP while buying more US equipment.

The reliance on American arms has soared in recent years, tripling in value between 2020 and 2024 compared with the previous five-year period, raising Washington’s share of the global arms trade to 43% from 35%. 

Berlin’s change in strategy reflects concerns over supply limits and sovereignty. The US has restricted Patriot system exports, citing shortages, and doubts have circulated around technologies like the F-35. Still, Germany will maintain its F-35 order, with officials citing its stealth and fifth-generation capabilities as unmatched in Europe.

What Does This Mean for Me?

Analysts comment that while Europe is taking steps to strengthen its defence industry, the transatlantic relationship remains deeply embedded. The US still dominates defence innovation, with nearly 18,000 patents filed between 2015 and 2021, compared to fewer than 12,000 across all 27 EU states. Germany accounted for 4,300, placing it second behind France. As Merz acknowledged, Europe may remain dependent on the US for some time, but the current trajectory signals a decisive effort to rebalance.