The EU will allocate €300M to support Ukraine’s defense industry under the new EDIP program.

The EU is making a significant move to strengthen its defense industry and integrate Ukraine’s defense industrial complex. EU countries have approved a mandate to negotiate with the European Parliament regarding the launch of the European Defense Industrial Program (EDIP). This program would allocate €1.5B from the EU budget through December 31 2027, with €300M dedicated specifically to Ukraine’s defense sector.

EDIP aims to boost the readiness of the EU defense industry, enhance its competitiveness, and improve its ability to adapt to evolving security challenges. At the same time, it will greatly aid in rebuilding and modernizing Ukraine’s defense technology and industrial base, with the goal of integrating it into the European technological and industrial defense framework.

The EDIP program is open to participants from EU member states, associated countries, and Ukraine. For EDIP measures to be fully extended to Ukraine, a separate agreement between Brussels and Kyiv must be signed.