BERLIN — The German government plans to invest nearly €12 billion, or about $14 billion, to develop a new set of long-range missiles aimed at deterring Russia. This information comes from defense ministry documents obtained by Politico. The initiative will allow German forces to strike military targets hundreds or even thousands of kilometers behind enemy lines. These targets include command centers, airfields, missile launchers, and supply hubs.
Program Details
This effort is a top priority for both Germany and NATO. It is part of a broader European response to perceived threats from Russia. The plan has four phases, with the first weapons expected to be operational as early as next year. The most advanced systems are projected for deployment by the middle of the next decade. Internal documents show that the funding for this program has not yet been approved by the German Bundestag, the country’s parliament.
Germany is currently in contract talks with two suppliers. The goal is to secure low-cost cruise missiles for qualification by the end of this year. The defense ministry is looking at options from U.S.-Israeli startup Covenant Industries and companies linked to Ukraine to speed up the acquisition of these weapons.
Strategic Importance
The planned missile program shows Germany's commitment to improving its military capabilities amid rising tensions in Europe. The initiative aims to provide a conventional military response while keeping operations below the nuclear threshold. A defense ministry spokesperson said that specific measures need parliamentary approval before any final decisions can be made.
The announcement of Germany's missile program could affect defense sector stocks. This is especially true for companies involved in missile manufacturing and military technology. Investors may see increased demand for defense contracts as European nations strengthen their military capabilities in response to geopolitical tensions. Watch for further developments in parliamentary discussions about the funding and approval of this program.
Based on reporting by: businessinsider.com, politico.eu