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EU loads fiscal firepower to rearm as US stops Ukraine military aid

EU loads fiscal firepower to rearm as US stops Ukraine military aid

Member states to get more flexibility in defence spending

ROME, 05 March 2025, 13:52

ANSA English Desk

ANSACheck
- ALL RIGHTS RESERVED

- ALL RIGHTS RESERVED

While the United States suspended military aid to Ukraine, Europe is stepping up its support, with countries moving to ramp up their defence spending and solidifying ties with Kiev. The shift comes after a tense meeting between US President Donald Trump and Ukrainian President Volodymyr Zelenskyy, straining US-Ukraine relations.
    Era of rearmament.
    European Commission President Ursula von der Leyen proposed a new fund on Tuesday that could mobilise nearly 800 billion Euro for defence investments across the European Union, including military aid for Ukraine. "We are in an era of rearmament, and Europe is ready to massively boost its defence spending," she said in Brussels.
    Her proposal, aimed at bolstering EU defence capabilities, suggests allowing member states more flexibility in defence spending, relaxing the EU's usually strict debt and deficit rules, and reallocating regional development funds to military investments.
    The plan also includes 150 billion Euro in loans for critical defence areas such as air and missile defence, artillery systems, drones, and military mobility, von der Leyen explained.
    "With this equipment, member states can massively step up their support to Ukraine," she added.
    The Commission hopes that, alongside private capital and additional funds from the European Investment Bank (EIB), this proposal could mobilise a total of 800 billion Euro for defence.
    "We're living in the most momentous and dangerous of times," von der Leyen said. EU leaders are set to discuss the proposal at a special summit in Brussels on Thursday.
    The proposal, however, faces internal resistance. Hungarian Prime Minister Viktor Orbán and Slovak Prime Minister Robert Fico have indicated they will block any EU-wide decision to arm Ukraine, preferring bilateral agreements.
    "We must live up to it": Europe's challenge to rearm.
    "This is Europe's moment and we must live up to it," von der Leyen said to announce her new plan to rearm Europe. But even after three years of war in Ukraine, European countries have struggled to spend more on defence.
    Despite calls for increased investment in defence, many European nations have been slow to commit. NATO's target of spending at least 2 percent of gross domestic product (GDP) on defence, which has been pushed by the US, is still a benchmark many nations are struggling to meet. For instance, Portugal has only committed to reaching this target by 2030.
    Slovenia, one of the lowest NATO defence spenders, currently allocates about 1.35 percent of GDP, with plans to increase this to 2 percent by 2030. On the other hand, countries like the Czech Republic are pushing to surpass the 2 percent threshold, with Prime Minister Petr Fiala aiming for 3 percent in the coming years.
    In North Macedonia, a NATO ally and aspiring EU member, the government also plans to allocate over 2 percent of GDP for defence.
    While this is a positive step, it remains a struggle for many EU nations, especially those with limited defence budgets and outdated military infrastructure.
    Bulgaria, a NATO and EU member, produces and exports defence equipment but faces challenges in modernising its Soviet-era military. Despite plans to increase defence spending to 2.5 percent of GDP by 2025, experts predict the actual budget will be closer to 2.1 percent, constrained by financial realities.
    Europe rallies to Ukraine's side.
    The announcement to significantly increase defence spending and military aid for Ukraine comes after US President Donald Trump's administration announced on Monday that it would temporarily suspend US military aid for Ukraine.
    Trump's decision to pull the aid followed his verbal assault on Ukrainian President Volodymyr Zelenskyy in the White House in front of journalists, heightening fears he intends to force Kiev into a peace deal that gives Russian President Vladimir Putin what he wants.
    While recently reinaugurated Trump has cast himself as a mediator between Putin and Zelenskyy, his approach has sidelined Kiev and Europe while pursuing rapprochement with the Russian leader.
    This shift was on full display at the Oval Office meeting with Zelenskyy, who Trump accused of not being grateful enough for US aid and not being "ready" for peace with Russia.
    But European leaders closed ranks in support of Kiev and a pre-organised summit in London by UK Prime Minister Keir Starmer to present a peace plan to the US turned into a recovery session for Zelenskyy after the bruising visit to the White House.
    Zelenskyy met with King Charles III on Sunday in a move to show London's desire to shore up the Ukrainian leader's status after his slap-down by Trump.
    Zelenskyy said afterwards the summit cemented their commitment to work towards peace. "We need peace, not endless war," he said on Telegram. "In the near future, all of us in Europe will shape our common positions - the lines we must achieve and the lines we cannot compromise on," he added. "These positions will be presented to our partners in the United States." Starmer likewise said that Britain, France "and others" would work with Ukraine on a plan to stop the fighting, which they would then put to Washington.
    French President Emmanuel Macron, flying back from the summit, told Le Figaro newspaper that France and Britain wanted to propose a partial one-month truce "in the air, at sea and on energy infrastructure".
    Polish Prime Minister Donald Tusk called for the United States and Europe to show Putin "that the West has no intention of capitulating before his blackmail and aggression".
    "Heavy lifting".
    Italian Prime Minister Giorgia Meloni stressed the importance of averting the West splitting over Ukraine in talks in London with Starmer "I think it is very, very important that we avoid the risk of the West dividing," Meloni said. "And I think that in this the UK and Italy can play an important role in building bridges," Meloni said.
    Meloni, the leader of the far-right Brothers of Italy party, enjoys favourable relations with Washington and is viewed as an option to repair ties with Trump after the row in the White House.
    However, facing down an intractable Russia with a wavering US, the challenges for Europe to remain united behind Ukraine are significant.
    Starmer and Macron have said they are prepared to deploy British and French troops to Ukraine to help preserve any truce. With no guarantee of US involvement, "Europe must do the heavy lifting", Starmer said. This is the sticking point however for many European sides.
    Swedish Prime Minister Ulf Kristersson does not exclude sending Swedish troops to Ukraine. But he clearly wants the US to be involved. "It must be built on an American backstop. It must be built on credible structures," Kristersson said in London.
    Romania's interim President Ilie Bolojan said that the security guarantees that would be granted to Ukraine will be, in fact, for "the entire eastern flank, from the Baltic to the Black Sea", pointing out that they will not be able to be provided without the support of the US.
    Another European supporter of Ukraine, Spain, wants to see the contours of the peace to be policed in Ukraine before committing to policing a ceasefire.
    The Spanish Minister of Foreign Affairs, José Manuel Albares, told Spanish media on Monday that Spain "has no problem" with sending troops abroad, but at this time in Ukraine "the effort is still primarily political and diplomatic" to ensure a fair and lasting peace and not a mere temporary ceasefire.
    The special summit of EU leaders on Thursday in Brussels will be the next big gathering to define the path ahead for Ukraine.
    Zelenskyy has been invited to attend with the debate on more EU military aid for Ukraine being all the more fateful in the new Trump era.
    (The content is based on news by agencies participating in the enr, in this case AFP, Agerpres, ANSA, BTA, CTK, dpa, EFE, Europa Press, Lusa, STA, TASR, TT).
   

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