An industry that protects
After decades of low investment, the European defence industry received more attention following the Russian invasion of Ukraine. The EU and its Member States took several steps to improve security and resilience of the region. This includes boosting the defence budget of EU Member States to a combined total of €290bn a year in 2025. The European Defence Fund (EDF) started operation on 1 January 2021 with a total budget of nearly €8.0bn for the period of 2021–2027.
Defence turnover 2022
Employment Defence 2022
European defence sector figures for 2022
- €135.3 bn
Defence industry turnover
10.0% increase in turnover compared to the preceding year.
Employment growth in the defence industry
4.4% increase compared to the previous year.
- €52.4 bn
8% increase compared to the previous year.
Estimated number of SME's engaged in the defence sector
The supply-chain bottlenecks caused by the pandemic, with a lack of raw materials and semiconductors, created challenges for military equipment manufacturers. The increased demand for ramping up production in the wake of the Russian invasion of Ukraine reinforced these supply-chain challenges.