EU prepares €165m defence boost to modernise munitions production lines

EU prepares €165m defence boost to modernise munitions production lines
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European defence firms submitted 83 proposals under the first call of the European Defence Industry Programme (EDIP), which closed on 16 June 2026.

The call focuses on so-called “energetic components” — materials such as propellant powder and explosives used in munitions — and is set to provide more than €165 million to European companies to reinforce production capacity, the European Commission announced in a statement Wednesday.

The funding covers components used in missiles, bombs, anti-drone systems and other ammunition.

Total investment linked to the call could reach up to €470 million once industry co-financing is included.

Proposals came from companies in 23 EU member states as well as Norway.

Next steps and what EDIP is

The Commission services will evaluate the proposals and identify the most relevant ones by September 2026, according to the statement.

EDIP is a €1.5 billion EU-wide programme intended to strengthen and modernise Europe’s defence industry and increase production capacity.

The programme also includes a Ukraine Support Instrument (USI) with a dedicated budget of €300 million, which contributes to the recovery, reconstruction and modernisation of Ukraine’s Defence Technological and Industrial Base.


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