Damianos calls for stronger single market to shore up EU’s defences

Trade Minister Michael Damianos on Tuesday called for a stronger European single market with the aim, among other things, of using its benefits to bolster the EU’s defence sector.

Speaking after an informal European competitiveness council (Compet) in Nicosia, he said that he and his counterparts had “underlined the growing strategic importance of the defence sector for Europe’s security and resilience”.

Tuesday’s discussions, he said, “focused on how EU instruments … can better support cooperation, joint investments and industrial modernisation”.

“A key priority is to bridge the gap between research and production on an industrial scale. The smooth functioning of the single market is essential in this regard, especially for small and medium-sized businesses in the defence sector,” he said.

To this end, he added, “particular attention has been paid to ensuring that small member states, including Cyprus, can benefit and contribute substantially”.

His comments align with those made by Cypriot MEP Costas Mavrides, who, like Damianos, belongs to Diko, last week.

Mavrides had called for Europe to strengthen its defence industry and bolster its “independence from external factors”.

“European small and medium-sized businesses are already involved in this sector, and I know for sure that in my country, Cyprus, this is happening, but we need to strengthen it by simplifying processes, facilitating financing, and cooperation between large and small businesses from different member states,” he said.

One key element of the EU’s new defence architecture is its Security Action for Europe (Safe) programme, through which the Cypriot government secured over €1 billion of funding last year.

Defence Minister Vasilis Palmas had said at the time that the funding would see the National Guard acquire military hardware to “cover [its] priorities” until 2030.

He added that the Safe programme came about about “at a time when the European Union’s needs to cover shortcomings are significant”, and at a time “when the mobilisation of equipment programmes and joint procurement programmes is becoming urgent”.

“The €150bn which will be invested by member states in the joint procurement of high-tech weapons systems is expected to be the trigger for a new promising era for European defence, with the ultimate goal of autonomy, technological dominance, and resilience,” he said.