Ankara: NATO leaders began unveiling arms deals worth tens of billions of dollars in Turkey Tuesday, driving home the message that they are heeding US calls to spend more to defend Europe before a summit with President Donald Trump. To upbeat tunes and slick videos at a defence industry forum in the capital Ankara, NATO Secretary General Mark Rutte announced a series of initiatives as the sum of various deal values was projected onto a screen. He called for a defence industry “revolution” across the alliance, warning over Russia’s massive military spending as well as China, North Korea and Iran. “We don’t have the luxury of time. We need capabilities now to ensure we remain ready.
The security situation demands it,” Rutte said. “The hum of machinery must become a roar.” It was a rallying cry for Western arms firms to ramp up investment to increase capacity, and for governments to place long-term orders and create the conditions for companies to thrive. Europe’s defence sector has often been criticised as fragmented and saddled with red tape and rivalries between companies and countries. That has left Europe more reliant on purchases of weapons from the United States. Weak economic growth and the need to maintain generous state welfare provisions have also made defence spending a tougher sell in Europe. The deals, which had been mostly kept under wraps to make a splash at the summit, included European countries buying surveillance drones from US company Northrop Grumman, and NATO buying planes from Sweden’s Saab. Saab shares were the biggest gainers in Europe, up more than 5% as investors bet on the company benefitting from European rearmament. Morgan Stanley upgraded the stock.
US defence company Lockheed Martin and Germany’s Rheinmetall signed a draft deal to jointly produce ATACMS missiles in Germany, a move that would mark the first non-US manufacture of the short-range ballistic missile. Rutte said NATO allies will invest more than $40 billion in the next five years in their anti-drone capabilities. The announcements follow Trump’s frequent criticism of Europe for insufficient defence contributions and over-reliance on the US to defend them through NATO, which has protected the continent since the early years of the Cold War. Trump reinforced the message in a video previewing his visit on Truth Social, urging Europe to spend more on its own defence. SHIFT ON F-35 PLANES TO TURKEY Trump arrived in Ankara to meet Turkish President Tayyip Erdogan and join fellow leaders of the military alliance for the summit, which begins with a dinner Tuesday evening. Rutte said Monday Europeans had made “staggering” increases in defence spending in part due to fears of Russia, which have surged since Moscow’s 2022 invasion of Ukraine, and also after Trump’s “extremely forceful” encouragement.
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