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Germany Approves Massive $60 Billion Rearmament Package to Bolster Defense

Pedro Espinola Special Correspondent / Updated : 2025-12-18 05:57:15
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(C) Defence News


BERLIN – In a decisive move reflecting the permanent shift in European security dynamics, the German Bundestag’s Budget Committee officially approved a massive military procurement package on Wednesday. The deal, valued at approximately €50 billion ($60 billion), marks a critical milestone in Germany’s Zeitenwende (historic turning point) policy initiated following Russia’s invasion of Ukraine.

Major Acquisitions and Strategic Focus

The approved expenditure covers over 30 separate defense projects, emphasizing both immediate frontline readiness and long-term strategic deterrence. The breakdown of the procurement includes:

Personal Equipment: €21 billion allocated for modernizing uniforms, protective gear, and individual combat equipment for soldiers.
Armored Warfare: €4.2 billion for 200 additional Puma infantry fighting vehicles, reinforcing the Bundeswehr's mechanized infantry.
Air Defense: A significant investment in high-altitude missile defense with €4 billion for the Israeli-made Arrow-3 system and €1.55 billion for the American-made Patriot systems.
Intelligence & Surveillance: €1.5 billion for eight MQ-9B Sea Guardian reconnaissance drones to enhance maritime and border monitoring.

Under German law, any military project exceeding €25 million requires individual approval from the Budget Committee. With this latest round, the total value of defense contracts approved in 2025 has reached a staggering €82.98 billion.

Constitutional Shifts and Financial Commitment

To sustain this level of spending, Berlin has taken unprecedented legislative steps. In March 2025, Germany amended its Basic Law (Constitution) to exempt defense spending from the "debt brake," a fiscal rule that strictly limits new borrowing. This move allowed the 2025 regular defense budget to swell to €82.7 billion, a 32% increase compared to the previous year.

Over the last three years, Germany has committed a total of €188.4 billion toward military modernization, signaling its intent to become the backbone of European conventional defense.

Rebuilding the Ranks: From Procurement to Personnel

The rearmament is not limited to hardware. Last month, the Bundestag passed a significant amendment to the Military Service Act. Faced with a recruitment crisis, the government aims to increase active-duty personnel from 183,000 to approximately 270,000 by 2035. The new law establishes a framework to transition back to compulsory conscription if voluntary recruitment targets are not met, pending parliamentary approval.

A Message to Allies and Adversaries

Defense Minister Boris Pistorius emphasized that these investments are a clear signal of Germany’s evolving role on the global stage. "When we say we will make the Bundeswehr a combat-ready force, we mean it," Pistorius stated. "Germany is ready to take on the responsibility we have promised to our citizens and our international allies."

As the largest economy in Europe, Germany's transition from a "civilian power" to a major military actor is expected to reshape NATO’s eastern flank and the broader geopolitical landscape of the continent.

[Copyright (c) Global Economic Times. All Rights Reserved.]

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Pedro Espinola Special Correspondent
Pedro Espinola Special Correspondent

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