In Brussels, Marianna Fakhurdinova, Coordinator of the EU-Ukraine Partnership Program at the Transatlantic Dialogue Center (TDC), presented TDC’s latest research during a discussion hosted by the European Policy Centre.
Fakhurdinova highlighted how the EU’s new SAFE instrument (€150bn in loans for defense procurement and investment) could provide Ukraine with both opportunities and challenges.
Key points from the presentation include:
EU member states and existing mechanisms (EPF, PURL) cannot fully replace U.S. military aid — in 2022–2025, both the U.S. and EU contributed roughly $65bn each.
SAFE enables Ukraine to participate as a subcontractor to EU member states or through joint ventures.
Ukraine’s defense industry has capacity to produce $35bn annually, but only $10bn was funded in 2024. SAFE loans could help bridge this gap.
Strengthening Ukraine’s defense industry benefits Europe through low-cost production, battlefield-tested technologies, rapid scaling, and innovation.
Fakhurdinova stressed that supporting Ukraine’s defense industry is not only about Ukraine’s survival but also about Europe’s long-term security and resilience.
Read more in TDC’s research: click on the link.
