European Defense Shield

The European Commission recently proposed to EU member states “ReArm Europe” - a five-point plan to rearm Europe

Corina Cristea, 14.03.2025, 13:00

The European Commission recently proposed to EU member states “ReArm Europe” – a five-point plan to rearm Europe, which could mobilize €800 billion over the next four years. Member states would also have more leeway in complying with the EU’s usually strict rules on debt and deficit when it comes to defense spending, as well as the possibility of reallocating regional development funds available for military investment. Here is the European Commission President Ursula von der Leyen:

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“We are living in the most important and dangerous times. I do not need to describe the serious nature of the threats we face. Or the devastating consequences we will have to bear if those threats were to happen. Because the question is no longer whether Europe’s security is threatened in a very real way. Or whether Europe should take more responsibility for its own security. Indeed, we have long known the answers to these questions. The real question before us is whether Europe is ready to act as decisively as the situation requires. And whether Europe is ready and able to act with the speed and ambition that are needed.”

In the various meetings in recent weeks, the response from European capitals has been as resounding as it is clear, Ursula von der Leyen has stated: ‘We are in an era of rearmament, and Europe is ready to massively increase its defense spending’. This is both to respond to the short-term urgency to act and to support Ukraine, but also to respond to the long-term need for Europe to assume much more responsibility for its own security. Ideas conveyed with determination, and subsequently, at the extraordinary summit in Brussels, an emergency meeting from which it became clear that Europe has entered a new era. What has Europe so alarmed now? Historian Adrian Cioroianu, a university professor and former Foreign Minister, believes that it is about the extent of the rift:

“Obviously, it is not only Donald Trump, long before him American presidents spoke about increasing participation, from George Bush Jr., then President Obama, in Donald Trump’s first term, even Joe Biden. It’s just that it was a suggestion that came, still, in a time of peace. Or we perceived it to be a time of peace. I mean, the world didn’t flinch even in 2008, when there were the Olympic Games, in the summer, and Russia entered Georgia, in those separatist provinces, the West wasn’t alarmed. We weren’t alarmed either in 2014, with Crimea. We weren’t alarmed in 2022 either, we were nervous for Ukraine, but not this feeling of alarm.”

The nervousness in Europe today, adds Adrian Cioroianu, derives from these almost two months “in which we realized not only that there are no people to limit Donald Trump, but those in his Administration seem to encourage him. I think this is where this feeling of European urgency came from. And the icing on the cake that put the lid on the whole story is this similarity of interpretation that comes to us from Washington and Moscow on certain issues. I don’t think this has any precedent, not even in Donald Trump’s first term, let alone with other American presidents”, says Professor Adrian Cioroianu.

One of the consequences of this behavior of the Trump Administration could be Europe’s awakening to the awareness of its own weight, he adds:

“An economic power, a demographic power, an intellectual power, but which was not covered by a military power. Europe had not thought about it in the last 70-80 years, it was not a priority, after 1990 it was more of a policy of assimilation of Central and Eastern Europe, although discussions had begun in the early 90s about a common security policy, but the integration of Central and Eastern Europe left security in the background.”

The plan of the President of the European Commission contains five financing instruments. The first refers to increasing national defense budgets by 1.5 percent at European level, which would mobilize about 650 billion euros in the next four years, expenses that will not be included in the calculation of the national budget deficit. A second instrument is loans for common European defense projects worth 150 billion euros. This is about spending better and investing together for pan-European capabilities, such as air defense, artillery systems, missiles, drones, but also in the cybersecurity field or military mobility. This instrument will help member states create demand for industry, and with this equipment we will also massively increase aid to Ukraine, says Ursula von der Leyen. The third instrument concerns the possibility for member states to use cohesion funds for defense projects, while the last two areas of action target private capital, in conjunction with loans from the European Investment Bank. “This is Europe’s moment and we must rise to it,” the head of the European executive stressed.