Kyiv Post

EU to Invest $1.3B in 57 Defense Projects, Deepens Ties With Ukrainian Manufacturers

The European Commission has selected 57 projects under the EDF, including different defense areas, while further integrating Ukraine’s industry into the European defense ecosystem. Make us preferred

The European Commission has selected 57 projects under the EDF, including different defense areas, while further integrating Ukraine’s industry into the European defense ecosystem. Make us preferred on Google Share Facebook X (Twitter) LinkedIn Bluesky Email Copy Copied European Commission President Ursula von der Leyen arrives for a press conference at the EU Commission headquarters in Brussels on April 13, 2026. (Photo by Nicolas TUCAT / AFP) Content Share Facebook X (Twitter) LinkedIn Bluesky Email Copy Copied Flip Make us preferred on Google The European Commission said Wednesday it would invest €1.07 billion ($1.26 billion) in 57 defense projects under the European Defense Fund (EDF) to bolster European military readiness and technological sovereignty. The selection follows a record 410 proposals – a 37% increase over last year. The funding involves 634 entities from 26 EU member states and Norway. Follow our coverage of the war on the @Kyivpost_official . The investment is split into €675 million ($795 million) for 32 capability development projects and €332 million ($392 million) for 25 research initiatives. The funding round focuses on four “flagship” initiatives: the European Drone Defense Initiative, the Eastern Flank Watch, the European Air Shield, and the European Space Shield. It also covers a wide range of defense sectors, including artificial intelligence (AI), cyber defense, drones and counter-drone systems. Small and medium-sized enterprises (SMEs) account for over 38% of participants and will receive more than 21% of the total funding. To attract new participants, several projects focused on mass-producing affordable drone munitions will launch “sub-calls” for startups, offering up to €60,000 ($70,800) each to help companies without prior defense experience enter the market. The EU is also integrating Ukraine’s defense sector into its industrial base through the Innovation Office in Kyiv, the European Commission said in a press release . A key example is Project STRATUS, which is manufacturing an AI-powered cyber defense system for drone swarms. Other Topics of Interest Europe Should Triple Support for Ukraine: Finnish Ex-Intelligence Chief Referring to claim that ending aid to Kyiv was one of the US administration’s proudest achievements, Toveri said neither Vance nor Trump understands Washington’s long-term strategic interests. By including a Ukrainian subcontractor, the project ensures “benefits from direct battlefield experience,” in Ukraine, the press release says. This investment is a key part of the Defense Readiness Roadmap 2030, a strategic plan for Europe to “credibly deter adversaries” by the end of the decade. According to the European Commission’s website , the roadmap was prompted by the need to move from small-scale prototyping to rapid, mass production as Russia transitions to a militarized economy, with defense spending exceeding 7% of its GDP. The core objective is European independence for its own security. To achieve “2030 readiness,” the roadmap prioritizes nine areas, including air and missile defense, strategic enablers, military mobility, artillery systems, cyber, AI, and electronic warfare, missile and ammunition, drones and counterdrones, and ground combat and maritime. The EU said Ukraine is an integral part of this architecture, aiming to leverage Ukrainian innovation for collective security. The EDF is the key instrument for achieving the EU’s goals. With a total 2021-27 budget of €7.3 billion ($8.6 billion), the fund supports the entire research and development (R&D) cycle to reduce dependence on foreign suppliers. The budget is divided into two primary areas: €2.7 billion ($3.2 billion) for collaborative defense research and €5.3 billion ($6.2 billion) for capability development projects. The commission said Ukrainian industries would join the EU-sponsored project in developing small drones in May 2025. By 2030, the EU aims to ensure that at least 55% of defense investment is procured within the European industrial base, with Ukraine as a partner in the security ecosystem. Mariіa Boltryk has been a journalist since 2022 and has been working for Ukraine's leading news agency Interfax-Ukraine. At Kyiv Post, she covers macroeconomics in Ukraine and business-related topics.