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European Defence Industry Programme
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European Defence Industry Programme

EU regulation and €1.5bn fund for joint defence production, procurement and Ukraine's arms industry, 2025-2027.

On 28 September, the European Defence Industry Programme backed five joint defence projects, including DECODER. The €1.5bn EU fund runs from 2025 to 2027 and aims to expand shared European production capacity.

Last refreshed: 1 October 2026

Key Question

Can a €1.5bn EU fund get Europe's capitals to build weapons together?

Timeline for European Defence Industry Programme

#18 28 Sept

Reserved €325m for the five projects

Drones: Industry & Defence: EU picks DECODER drone project for EDIP
View full timeline →

Background

The European Defence Industry Programme is an EU regulation and funding programme for joint defence production, procurement cooperation and Ukraine's defence industry. Its 2025-2027 mandate makes it a vehicle for directing EU support towards industrial capacity rather than a permanent military procurement body.

The programme combines a €1.2bn main envelope with a €300m Ukraine Support Instrument. It seeks to make national defence spending more compatible across participating states by supporting common procurement and industrial reinforcement. Its relevance rests on whether EU co-funding can encourage capitals and manufacturers to build compatible capacity at scale.

On 28 September, EU ministers selected five common-interest projects eligible for programme support, including the DECODER drone and counter-drone project. Ukraine participated in four of the five projects, showing how the programme links European industrial policy with Ukrainian defence production.

Common Questions
What is the European Defence Industry Programme?
EDIP is an EU programme set up by Regulation (EU) 2025/2643 of 16 December 2025. It co-funds joint defence procurement, industrial capacity and European Defence Projects of Common Interest, and includes a Ukraine Support Instrument.Source: Official Journal of the European Union
How much money is in EDIP?
The regulation provides €1.2bn for the main programme and €300m for the Ukraine Support Instrument, €1.5bn in total, for 30 December 2025 to 31 December 2027, plus any additional contributions.Source: Regulation (EU) 2025/2643
When was EDIP adopted?
The Council gave final approval on 8 December 2025. The regulation is dated 16 December 2025, was published in the Official Journal on 29 December 2025 and took effect the next day.Source: Council of the EU; Official Journal of the European Union
Which projects has EDIP chosen as projects of common interest?
On 28 September 2026 the Council named the first five: DECODER (drones and counter-drone), IMSD (maritime and seabed), SPACE, EU-FIAMD (air and missile defence) and Eastern Flank Watch. the Commission reserved €325m for them.Source: Council of the EU; European Commission
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