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Germany’s government has approved a draft law aimed at accelerating military procurement, as Berlin seeks to strengthen its armed forces amid concerns over diminishing US security guarantees for Europe.
Defence Minister Boris Pistorius said on Wednesday that the legislation would simplify processes to enable defence companies to receive state advance payments more swiftly, allowing production to begin earlier.
In addition, the financial threshold for defence contracts exempt from the full procurement process will rise from €15,000 to €443,000. For military construction projects, the exemption limit will increase to €1 million.
Pistorius hailed the draft legislation as a “quantum leap” for the Bundeswehr, Germany’s armed forces, which is currently bogged down by roughly 12,000 pending procurement cases. The changes, he said, would cut through the “jumble of regulations” that have long hindered the country’s ability to boost its defence capabilities efficiently.
Speaking alongside Pistorius, Economy Minister Katherina Reiche stressed the importance of technological and industrial strength as a means of deterring threats. “Germany must become stronger than any potential aggressor,” she said. “That is how we preserve peace.”
Berlin has ramped up military spending since Russia’s invasion of Ukraine in 2022, a policy shift that gained momentum following former US President Donald Trump’s calls for Europe to shoulder more of its own defence burden.
Chancellor Friedrich Merz has pledged to create the “strongest conventional army” in Europe, reflecting a dramatic change in policy for a country historically shaped by post-war pacifism.
Germany’s defence spending is projected to reach €162 billion by 2029 — more than triple its pre-war levels.
The draft bill must still be approved by the German parliament before becoming law.
