The administration of US President Donald Trump is threatening to take retaliatory measures against European countries if the EU prioritizes domestic arms manufacturers in its efforts to rearm the continent, Politico reports, writes UNN.
Details
The Pentagon has objected to any EU efforts to restrict American arms manufacturers' access to the European market and warned that it would provoke a retaliatory reaction.
The administration made previously unpublished remarks in its contribution to the European Commission's consultation earlier this month, after the EU executive branch requested feedback from governments and industry on European arms procurement rules, the publication writes.
"The United States strongly opposes any changes to the Directive that would limit the ability of US industry to support or otherwise participate in national defense procurements of EU member states," the US administration wrote ahead of a planned update to EU defense procurement laws.
"Protectionist and exclusive policies that push American companies out of the market, while major European defense firms continue to reap significant benefits from access to the United States market, are the wrong course of action," the response added.
"Washington's comments highlight a paradox in the US approach to Europe: while the Trump administration has repeatedly told Europeans that it wants them to bear the brunt of the continent's conventional defense, the US does not want this to come at the expense of American defense companies," the publication states.
Earlier, the publication reported that US Deputy Secretary of State Christopher Landau, during a closed meeting in December, criticized European NATO allies for prioritizing their own defense industry over American arms suppliers. The US State Department, it is noted, co-signed the Trump administration's contribution to the European Commission's survey.
Over the past few years, the European Commission has sought to increase the share of European weapons in the bloc's arsenals and procurement contracts, in preparation for a potential conflict with Russia. For decades, the continent has largely relied on American military equipment, ranging from F-35 fighter jets to HIMARS artillery systems and Patriot air defense systems. Almost two-thirds of the bloc's imported weapons are supplied by the US, the publication writes.
"Such strong resistance from the Trump administration also threatens to complicate any broader industrial efforts by the European Commission on a 'Buy European' program. This will be a test of how far European countries are willing to go to become more independent from the US, which has become an increasingly unreliable partner during Trump's time," the publication notes.
The EU executive branch is expected to present an update to the 2009 procurement directive in the third quarter amid a broader, controversial push for more "Buy European" rules. It remains unclear whether the new text will contain mandatory rules favoring domestic manufacturers, the publication indicates.
The EU, the publication writes, already prioritizes local companies in projects such as the €150 billion SAFE program, and for arms purchases that Ukraine can make thanks to a recently agreed €90 billion loan for Ukraine. EU money can only be used to purchase military equipment if at least 65 percent of the equipment's value is purchased in Europe.
In its report, the Pentagon warned that any move to include a clear "Buy European" clause in future procurement legislation would trigger retaliatory measures from the US.
"If European preferential measures are introduced into the national procurement laws of member states, the United States will likely review all existing general waivers and exceptions to 'Buy American' laws provided or made in connection with these our [Reciprocal Defense Procurement Agreements]," the Pentagon wrote.
"In fact, this means that the US will close access for European companies," the publication indicates.
About 19 of the 27 EU capitals have signed such agreements with Washington, allowing European companies to compete for some Pentagon deals.
"Subsequently, any future exceptions will be considered on a contract-by-contract basis and only when deemed necessary to support NATO's interoperability and standardization requirements," the US emphasized.
Although the Pentagon procures material assets primarily from American companies, European firms such as Italy's Leonardo and Sweden's Saab also sell them to the US.
According to Washington, a "Buy European" clause for national procurements would limit the free movement of capital, weaken NATO, and jeopardize the ability of European countries to meet the alliance's capability targets agreed last year. The US administration also argues that this would contradict the EU's commitments under the US-EU trade agreement signed last summer, in which the European Commission pledged to purchase more American weapons.
"The wording on European preferences has already appeared in EU programs, but its inclusion in the Directive would be a turning point in influencing the sovereign national budgets of individual member states," the Trump administration wrote.
The message from the Pentagon and the State Department was echoed by the US Chamber of Commerce. Although the tone is softer, the organization also warns against European preferences in its contribution, the publication writes.
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