EU's SAFE defence funding expands beyond Europe in landmark deal with Canada

EU's SAFE defence funding expands beyond Europe in landmark deal with Canada
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The EU has formally concluded an agreement allowing Canadian companies and Canadian-made products to take part in procurement under the bloc’s Security action for Europe (SAFE) defence funding instrument.

Canada is the first non-European country to participate in SAFE, the Council of the EU announced on Monday.

The agreement was signed on 14 February 2026 and follows a Security and Defence Partnership agreed at the Canada–EU Summit on 23 June 2025.

Cyprus defence minister Vasilis Palmas said Canada joining SAFE “highlights the deep trust” between the EU and Canada.

What SAFE is and who can take part

SAFE is an EU financial instrument that supports member states that want to invest in defence industrial production by buying equipment together, focusing on “priority capabilities”, the Council said.

It finances what the Council described as urgent, large-scale investments in the European defence technological and industrial base — the network of companies and organisations that develop and produce defence technologies and equipment.

Ukraine and countries in the European Free Trade Association and European Economic Area can participate in common procurement under SAFE.

Acceding countries, candidate countries, potential candidates and countries that have signed Security and Defence Partnerships with the EU may also take part and contribute to combined demand.

The SAFE regulation was adopted in May 2025 as part of the EU’s “Readiness 2030” defence package.


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