Latest news with #KielInstitutefortheWorldEconomy


Nahar Net
2 days ago
- Business
- Nahar Net
Military aid to Ukraine: Europe gives more, widening gap with US
by Naharnet Newsdesk 12 August 2025, 20:00 Europe again increased its military aid to Ukraine in May and June, unlike the United States, and is depending increasingly on its defense industry rather than existing weapons stockpiles, the Kiel Institute for the World Economy said Tuesday. Europe, the United Kingdom included, sent or earmarked a total of 80.5 billion euros ($93.7 billion) in military aid between the start of the war in February 2022 and the end of June 2025 against 64.6 billion euros allocated by the United States. The Germany-based Institute's data shows that the overall European military aid had outstripped the United States in the spring for the first time since June 2022. "A significant proportion of the weapons provided no longer comes from stockpiles but is procured directly through the defense industry," the institute said. "This means that Europe now also leads the U.S. in terms of total volume of military aid provided through industry since the start of the war." Taro Nishikawa, a project lead at the research body's Ukraine Support Tracker, said it was "a clear indication of the expanding role of defense manufacturing in military assistance." In May and June, Europe earmarked 10.5 billion euros of military aid to Ukraine: Germany put up a package of five billion euros, followed by Norway with 1.5 billion euros and Belgium with 1.2 billion euros. The Netherlands, the United Kingdom and Denmark each earmarked between 500 and 600 million euros. At least 4.6 billion euros of the European military aid, or 44 percent of the overall amount in May and June, is set to be channeled through procurement contracts, mainly with Europe-based defense firms, notably based in Ukraine, the Kiel Institute said. Over the same period, Washington approved major exports of arms to Ukraine in May but not in the form of military aid under the Kiel Institute's definition because they have to be paid for by Ukraine itself. The United States was the main provider of aid to Ukraine before Donald Trump's return to the White House on January 20, 2025 when he broke with his Democrat predecessor Joe Biden's Ukraine support strategy. U.S. Vice President JD Vance told the conservative news channel Fox News, in an interview broadcast on Sunday, that he believed Washington had now ended its financial support for Ukraine. "But if the Europeans want to step up and actually buy the weapons from American producers, we are okay with that," he said. Trump and his Russian counterpart Vladimir Putin are scheduled to meet in Alaska on Friday to reach, according to the U.S. president, a possible agreement on exchanging territory to bring an end to the war in Ukraine sparked by the Russian invasion more than three years ago.


Euractiv
3 days ago
- Business
- Euractiv
Nearly half Europe's aid for Ukraine coming from procurement rather than stockpiles, says think tank
Much of the military aid Europe is now sending to Ukraine is being delivered from factories through procurement deals rather than out of existing military stockpiles, according to new data from Germany's Kiel Institute for the World Economy. The shift comes as the European defence industry continues to expand production, while the United States under President Donald Trump has started selling weapons to Ukraine rather than donating newly produced gear as aid. 'Europe has now procured more through new defence contracts than the United States –marking a clear shift away from drawing on arsenals toward industrial production', said Taro Nishikawa, head of the Ukraine Support Tracker at the Kiel Institute. Such deliveries account for at least €4.6 billion of the €10.5 billion worth of military aid sent from Europe to Ukraine in May and June, the think tank found. The figures include the EU as well as the United Kingdom, Norway, Switzerland and Iceland. Since the launch of Russia's full-scale invasion in 2022, European producers have delivered a combined total of €35.1 billion worth of newly produced military equipment and munitions since 2022, according to the think tank's calculations. That compares to €30.7 billion worth of equipment as military aid from production lines in the US. "For the first time since the start of the Trump administration, the United States approved major arms exports to Ukraine in May – but not as military aid," the think tank noted. "Instead, these are sales that Kyiv must finance itself." European countries, meanwhile, have significantly turned to procurement contracts with armaments firms to deliver aid to Ukraine as existing military stockpiles were depleted and weapons factories expanded in response to booming demand. In 2024, weaponry delivered under procurement deals accounted for 59% of European military aid to Ukraine, up dramatically from just 11% in 2022, a previous study from the think tank showed. Leaders and laggards Germany leads European countries in military aid to Ukraine at €16.5 billion, followed by the UK at €13.8 billion and Denmark at €9.16 billion, according to the Kiel Institute's Ukraine Support tracker. The German government has boosted financial support to Ukraine in recent months, including a new €5 billion package in military aid announced in May. That package will include funding for the production of long-range weapons systems inside Ukraine. France, the EU's second-largest economy and home to some of Europe's largest defence contractors, is only in sixth place with €5.96 billion. In March, French President Emmanuel Macron announced a €2 billion package of military aid, including anti-tank missiles, air-defence systems, fighter jet missiles, ammunition and production of equipment in Ukraine. More European contracts to deliver weaponry to the Ukrainian armed forces could be inked in the coming months, as EU countries look to tap the European Commission's new €150 billion SAFE military procurement loan programme to support to Kyiv. A number of countries has expressed interest in using SAFE funds to support the Ukrainian war effort. Bulgaria, among the few countries to publicly detail SAFE spending plans so far, has suggested using borrowed SAFE money to procure 155mm artillery shells for Ukraine via joint contracts with other EU countries. Countries have until the end of November to submit detailed SAFE spending plans to the Commission. (bts, jp)


Business Recorder
3 days ago
- Business
- Business Recorder
Military aid to Ukraine: Europe gives more, widening gap with US
PARIS: Europe again increased its military aid to Ukraine in May and June, unlike the United States, and is depending increasingly on its defence industry rather than existing weapons stockpiles, the Kiel Institute for the World Economy said Tuesday. Europe, the United Kingdom included, sent or earmarked a total of 80.5 billion euros ($93.7 billion) in military aid between the start of the war in February 2022 and the end of June 2025 against 64.6 billion euros allocated by the United States. The Germany-based Institute's data shows that the overall European military aid had outstripped the United States in the spring for the first time since June 2022. 'A significant proportion of the weapons provided no longer comes from stockpiles but is procured directly through the defence industry,' the institute said. 26 EU leaders say Ukraine should have freedom to decide its future 'This means that Europe now also leads the US in terms of total volume of military aid provided through industry since the start of the war.' Taro Nishikawa, a project lead at the research body's Ukraine Support Tracker, said it was 'a clear indication of the expanding role of defence manufacturing in military assistance.' In May and June, Europe earmarked 10.5 billion euros of military aid to Ukraine: Germany put up a package of five billion euros, followed by Norway with 1.5 billion euros and Belgium with 1.2 billion euros. The Netherlands, the United Kingdom and Denmark each earmarked between 500 and 600 million euros. At least 4.6 billion euros of the European military aid, or 44 percent of the overall amount in May and June, is set to be channelled through procurement contracts, mainly with Europe-based defence firms, notably based in Ukraine, the Kiel Institute said. Over the same period, Washington approved major exports of arms to Ukraine in May but not in the form of military aid under the Kiel Institute's definition because they have to be paid for by Ukraine itself. The United States was the main provider of aid to Ukraine before Donald Trump's return to the White House on January 20, 2025 when he broke with his Democrat predecessor Joe Biden's Ukraine support strategy. US Vice President JD Vance told the conservative news channel Fox News, in an interview broadcast on Sunday, that he believed Washington had now ended its financial support for Ukraine. 'But if the Europeans want to step up and actually buy the weapons from American producers, we are okay with that,' he said. Trump and his Russian counterpart Vladimir Putin are scheduled to meet in Alaska on Friday to reach, according to the US president, a possible agreement on exchanging territory to bring an end to the war in Ukraine sparked by the Russian invasion more than three years ago.


Boston Globe
17-07-2025
- Business
- Boston Globe
German and UK leaders sign mutual defense pact as US steps back
Advertisement In addition to defense and security, the treaty covers energy, economic cooperation, and migration. It builds on an agreement signed last October, under which the countries agreed to conduct joint military exercises and develop sophisticated weapons. Merz, a center-right leader who came to power in May, has swiftly emerged as a linchpin in Europe's effort to build a more independent role in its security since the return of Trump to the White House. Starmer, who welcomed Merz to No. 10 Downing St., has likewise tried to position Britain as a critical player in European support for Ukraine in its war against Russia. 'We see the scale of the challenges our continent faces today and we intend to meet them head-on,' said Starmer, standing next to Merz at an Airbus space and defense factory in Hertfordshire, north of London. Advertisement 'We are really on the way to a new chapter,' Merz said, noting that Russia's aggression was 'shaking the European security architecture' and that the trans-Atlantic alliance was undergoing 'a far-reaching transformation.' Neither Merz nor Starmer said much about Trump, though the chancellor praised the president for announcing earlier this week that the United States would supply new weapons to Ukraine through NATO. 'Europe and the United States are pulling in the same direction here,' Merz said. Germany does not possess nuclear weapons, but it is the third-largest supplier of military hardware to Ukraine, after the United States and Britain, according to the Kiel Institute for the World Economy. Under Merz, Germany has agreed to increase its military spending to 3.5 percent of gross domestic product by 2029, its most ambitious rearmament since the end of the Cold War. Britain and Germany have both made strides in recent years in tightening security cooperation with France, said Mark Leonard, the director of the European Council on Foreign Relations, a research organization. But the British-German relationship has been slower to evolve. 'The signing of this treaty really is a big step forward,' he said. Georgina Wright, a senior fellow at the German Marshall Fund in Paris, said the treaty was an 'easy win' for the countries, since Britain and Germany had no institutional framework that formalized their cooperation on defense. For all its symbolism, however, she said the treaty would never be as important to Germany as its defense and security ties with France, its continental neighbor. 'This was about plugging a very clear gap,' Wright said. Advertisement Still, Merz seemed tickled that the accord was signed at the Victoria and Albert Museum in Kensington. The museum, he said, was chosen because it was named after Queen Victoria and her German-born husband, Prince Albert, famous for their long, happy marriage. It was a hopeful omen for the treaty, he joked. German officials even referred to the treaty as a 'friendship contract,' intended to bring the two countries closer at a time of heightened security concerns, and to bridge divides that had been opened by Britain's exit from the European Union. At a time of economic stagnation in Britain and Germany, the friendship agreement includes steps to strengthen commercial ties, from a scientific research partnership to improved rail connections. It also features several measures related to migration. These include new cooperation to combat human trafficking and more targeted efforts to make it easier for British and German citizens to visit each other's countries. Frequent travelers from Britain, for example, will be able to pass through German airports more easily. Starmer thanked Merz for a change in German law that allows authorities to seize small boats being stored in the country. 'It's a clear sign we mean business,' the prime minister said, noting that it built on the deal he signed last week with France to curb illegal migrant crossings of the English Channel. For reasons of diplomatic protocol, Merz's visit was more modest and businesslike than that of Macron. Unlike Macron, Merz is not a head of state (Germany has a largely ceremonial president). Starmer is the chancellor's host, while King Charles III invited Macron, reciprocating for his own state visit to France in 2023. Advertisement When Trump makes a rare second state visit to Britain in mid-September, he, like Macron, will get the full ruffles and flourishes. Later this month, Trump will make a semiprivate visit to his two golf clubs in Scotland. He is expected to meet with Starmer, though not with the king, while there. Still, the lack of pomp and pageantry for Merz says little about the importance of the relationship between him and Starmer. Both are centrist leaders, struggling to govern in polarized political systems. Both are also relatively new, meaning they could work together for years. Starmer just marked his first year in office; Macron, by contrast, is in the twilight of his presidency, with elections in France scheduled for 2027. This article originally appeared in
Yahoo
02-07-2025
- Politics
- Yahoo
US pauses some munitions shipments to Ukraine, including air defense missiles, senior White House official says
The Trump administration is pausing some weapons shipments to Ukraine, including air defense missiles, following a review of military spending and American support to foreign countries, a senior White House official told CNN. Defense Secretary Pete Hegseth signed off on the review, which the official noted had been underway for months. It was not immediately clear if military support provided to other countries would be affected. White House Deputy Press Secretary Anna Kelly said the decision was made 'to put America's interests first.' Russia welcomed the decision, claiming – without providing any evidence – it was made because the US did not have enough weapons. 'As far as we understand the reason for this decision was empty warehouses, lack of these weapons in warehouses. But in any case, the fewer weapons are supplied to Ukraine, the closer the end of the special military operation,' Kremlin spokesperson Dmitry Peskov told reporters in a phone call, using the Kremlin moniker for Russia's unprovoked war on Ukraine. The decision to halt some weapons transfers to Ukraine comes after President Volodymyr Zelensky pleaded with Western allies to bolster its aerial defenses after intensifying Russian airborne attacks. Russia has in recent weeks launched near-nightly air attacks on Ukraine, involving hundreds of drones and missiles. On Sunday, the Ukrainian military said a pilot was killed after his F-16 fighter jet crashed during a Russian aerial assault. Following the attack, Zelensky said on social media Ukraine is ready to buy 'American systems' to strengthen its air defenses. Ukraine's defense ministry said Wednesday that it 'has not received any official notifications about the suspension or revision of the delivery schedules for the agreed defence assistance.' But officials in Kyiv stressed on Wednesday that US weapons played a critical part in the country's defense. 'It would seem very strange, it would seem inhumane to stop supplying missiles … especially to Patriot systems, which are clearly protecting the civilian population in Ukraine on a large scale,' Mykhailo Podolyak, Ukraine's presidential office advisor, said. The US has been the biggest single donor of military aid to Ukraine since Russia launched its full-scale invasion in 2022, supplying Ukraine with air defense systems, drones, rocket launchers, radars, tanks and anti-armor weapons, leading to concerns over dwindling US stockpiles. But the balance of aid to Ukraine has changed significantly since Trump returned to power, casting doubt over the future of US support for Kyiv. In April, Europe surpassed the US in total military aid to Ukraine for the first time, with its contribution equaling 72 billion Euros ($84.9 billion), compared with the US's 65 billion Euros ($76.6 billion), according to data from the Kiel Institute for the World Economy, a German think tank that closely tracks wartime aid to Ukraine. The shift came after Trump halted all shipments of military aid to Ukraine following a heated Oval Office argument with Zelensky in March. Trump resumed aid flows to Ukraine about a week later. Last week, during the NATO summit in The Hague, US President Donald Trump suggested Kyiv may see future Patriot missile system deliveries from the US – signaling a possible shift in his thinking about US aid flows to Kyiv. The Patriots are widely considered among the best air defense systems, particularly in protecting against advanced hypersonic and ballistic missiles. Ukraine is known to have roughly half a dozen of the US-made Patriot air defense systems, which play a crucial role in its air defense, protecting millions of civilians from Russian missiles. But Kyiv is at risk of running out of missiles for these systems. This story has been updated with additional information. CNN's Svitlana Vlasova and Anna Chernova contributed to this report.