Japan, EU move swiftly to fortify defense industry links

Japan and the EU are accelerating efforts to strengthen their defense industry collaboration. 

Japan and the EU are ready to strengthen collaboration between their defense sectors, beginning with initial discussions involving government and private-sector leaders. This move represents an important effort by both parties to lessen reliance on the United States while pursuing joint production and more robust supply chain partnerships, Caliber.Az reports per foreign media.

Coinciding with the Paris Air Show, the meeting will be the first time defense companies from Japan and the EU gather together. Japanese participants will include senior officials from the Ministry of Economy, Trade and Industry, along with major corporations such as Subaru, Toray, Mitsubishi Electric, IHI, and Kawasaki Heavy Industries, all represented under the Society of Japanese Aerospace Companies (SJAC). Innovative startups like radar satellite developer Synspective are also expected to join.

On the European side, representatives from the European Commission’s Directorate-General for Defence Industry and Space will attend, alongside leading defense firms including France’s Thales and Safran and Italy’s Leonardo. Recently, SJAC met with NATO officials in Brussels, where NATO expressed growing interest in the technologies of Japanese startups, particularly in the space sector.

Both Japan and the EU face similar challenges, including relatively small defense sectors, high research and development costs, and reliance on US defense capabilities. With Europe accelerating efforts to boost regional defense manufacturing amid Russia’s invasion of Ukraine, Japan views the expanding European market as a valuable opportunity.

According to NATO, the U.S. defense budget for 2024 is projected at \$935 billion, while the EU allocated 326 billion euros (\$376.7 billion), and Japan’s defense spending reached about 9 trillion yen (\$62.4 billion). The EU’s recent defense white paper emphasizes the need to strengthen competitiveness and promote collaboration with Japan to prepare for future security threats.

Initial discussions will focus on building joint supply chains and linking major defense companies with startups to drive innovation. European nations are particularly interested in Japanese dual-use technologies for advanced AI-enabled weapons systems.

The EU is preparing financial incentives to support its defense industry, with hopes that joint EU-Japan projects will qualify for funding. A tentative EU-Japan summit in July is expected to confirm expanded defense cooperation and establish a new framework for regular public-private sector dialogue.

Looking forward, both sides plan to enhance joint development and production efforts. Japan is already collaborating with the UK and Italy on a next-generation fighter jet, and more exchanges between Japanese and European officials are expected to spur concrete projects.

In recent years, Japan has relaxed its defense export rules, allowing the export of parts for domestic weapons systems, although complete lethal weapons exports remain largely banned. This policy shift aligns with Japan’s broader goal of expanding its presence in the global defense market.

By Naila Huseynova