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Euromaidanpress
Euromaidan Press
6 Apr 2025
Olena Mukhina


US warns EU against excluding American companies from € 150 billion defense initiative which can supply Ukraine with weapons

US officials press European countries to maintain access for American defense companies as EU plans €150 billion ReArm initiative that could limit participation of non-EU firms amid growing transatlantic tensions.RetryClaude can make mistakes. Please double-check responses.
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Ukrainian Army’s Leopard 2 tank, covered with protective steel cages. Photo: Liga
US warns EU against excluding American companies from € 150 billion defense initiative which can supply Ukraine with weapons

US officials have urged European allies to continue purchasing American-made weapons, amid growing concern in Washington over new EU initiatives that may limit access for US defense firms, five sources familiar with the matter told Reuters.

In mid-March, the European Commission unveiled a defense initiative called ReArm Europe, which includes plans to borrow €150 billion to fund defense projects through government loans. One source said that Washington was concerned about ReArm and the US’s exclusion from the initiative. European Commission President Ursula von der Leyen previously stated that the program would allow Europe to rearm itself and supply Ukraine in its existential fight against Russian aggression.

The recent messaging comes as the EU moves to bolster its domestic defense industry. The proposals, if implemented, could limit the participation of non-EU companies, particularly from the US and the UK.

Early foreign policy steps by the Donald Trump administration, including a short-term cut in military aid to Ukraine and a softer stance toward Moscow, deeply unsettled European allies. Those actions prompted questions about the reliability of the US as a long-term defense partner.

As the EU seeks to reduce its military dependence on Washington, especially under Trump’s presidency, the European Commission has proposed increased military spending and greater coordination of defense procurement across the bloc.

On 25 March, US Secretary of State Marco Rubio reportedly told the foreign ministers of Lithuania, Latvia, and Estonia that the US wants to remain involved in European defense procurement. According to two sources, Rubio warned that excluding American firms from European tenders would be viewed negatively by Washington—an implicit criticism of the EU’s proposed procurement rules.

A Nordic diplomat not present at the Baltic meeting confirmed that US officials recently conveyed their concerns, stating that any exclusion from EU arms purchases would be inappropriate.

According to a senior State Department official, Trump welcomes Europe’s growing defense contributions and responsibility for its own security, but strongly opposes any new barriers that would exclude US companies from EU defense projects.

The foreign ministries of Latvia and Estonia did not respond to requests for comment, while Lithuania’s foreign ministry declined to comment.

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