The European Union is seeking to reduce its security dependence on the US and buy more military equipment in Europe, with tanks being a particular area of interest, according to researchers. The European market for armoured vehicles is fragmented and hindered by a lack of standardisation, which limits production. As Europe responds to US pressure to boost defence spending and considers its military self-sufficiency in the wake of Russia’s invasion of Ukraine, the issue of tank procurement is in the spotlight. On paper, Europe’s stock of tanks looks relatively healthy, with Greece, Poland, and Romania leading the way in terms of the number of armoured vehicles.
Despite the fragmented market for armoured vehicles in Europe, the technical performance of European and US equipment is considered to be on par. European countries have the know-how, design offices, technologies, and scientific research necessary to offer equipment that is at the same level as that of the US. However, sourcing from the US provides an advantage due to the ecosystems that come with acquiring armoured capabilities, such as ammunition, maintenance, and logistics. The main challenge for the defence industry in Europe lies in the highly fragmented market, with several companies and numerous models, which limits industrial output.
The different models of armoured vehicles in Europe, such as the French Leclerc, the German Leopard, and the Italian Ariete, have various systems that limit standardisation and industrial efficiency. Different training, parts, and maintenance requirements for each model create additional costs and complexity. The question of standardising equipment has been raised for many years, but the cost has been cited as a prohibiting factor. The European Commission’s white paper on defence proposes that member states make joint purchases to strengthen interoperability and limit market fragmentation, while also encouraging countries to limit the number of companies producing different models.
In recent years, EU nations have placed about two-thirds of their orders with US defence companies, highlighting the need to boost Europe’s own defence capabilities. EU finance ministers are discussing the establishment of a joint intergovernmental defence fund to buy and own defence equipment, which would help reduce the reliance on US suppliers and enhance military self-sufficiency. The push for increased defence spending and military self-reliance is driven by geopolitical considerations, such as Russia’s actions in Ukraine, and the desire to assert Europe’s autonomy in security matters. By addressing the fragmentation in the armoured vehicle market and promoting joint purchases among member states, the EU aims to strengthen its defence capabilities and reduce its dependence on external suppliers.
