NATO Summit Yields $50bn in Defense Deals

An industry forum for defense companies from NATO member countries was held this week on the sidelines of the NATO summit in Ankara, Turkey. Representatives announced defense contracts and industrial agreements worth more than $50bn, as the alliance sought to reaffirm its commitment to higher defense spending.

Some of the announcements involve contracts that have already been signed, while others remain subject to negotiation or approval. European nations continue to face pressure from US President Donald Trump to shoulder a greater share of the alliance's defense burden.

Sweden's Saab will begin negotiations with NATO on the delivery of up to 10 GlobalEye early-warning aircraft. Lockheed Martin and Rheinmetall have signed a memorandum of understanding on the joint production in Germany of the Army Tactical Missile System (ATACMS). The United States will also establish a service center in Europe for PAC-3 air defense missiles.

NATO Secretary General Mark Rutte also announced plans to purchase up to five MQ-4C Triton reconnaissance drones and to expand the fleet of Airbus A400M transport aircraft and A330 MRTT refueling aircraft.

Germany has also reached an agreement with the United States to purchase Tomahawk cruise missiles and deploy them on its territory, dispelling uncertainty surrounding the program after earlier statements by Trump about reducing the US military presence in the country.

(Reuters, bak)