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European Defence Industry Posts Strongest Growth in Years as Calls Rise to Prioritise Home-Built Equipment
Europe’s defence sector recorded one of its strongest years on record, with industry leaders urging EU member states to favour European-made military equipment as the bloc ramps up rearmament in response to Russia’s ongoing aggression.
According to the annual report released by the Aerospace, Security and Defence Industries Association of Europe (ASD), turnover across its 4,000 member companies rose 10.1 percent in 2024 to €325.7 billion. Defence activities drove the surge, expanding by 13.8 percent to reach €183.4 billion. Civil aviation grew at a slower pace of 6 percent.
The boom in production has been matched by record hiring. Direct employment in the sector increased by 6.9 percent to 1,103,000 workers — the highest figure ever recorded. Defence-related jobs accounted for the bulk of the gains, rising 8.6 percent year-on-year to 633,000.
ASD President and Saab CEO Micael Johansson said the sector’s momentum reflects Europe’s broader geopolitical concerns. “Our sectors are not only vital to Europe’s economy. They are essential for Europe’s security, connectivity and resilience, ultimately for its sovereignty at a time of fast-shifting global dynamics,” he said. He stressed that the EU’s next multiannual budget must prioritise industrial investment to maintain competitiveness and strategic strength.
Defence Spending Surges Across EU
EU member states have sharply boosted their defence budgets since Russia’s full-scale invasion of Ukraine in 2022. Combined defence spending across the bloc reached €343 billion last year, up from €251 billion in 2021. Intelligence assessments have warned that Russia could threaten additional European countries before the decade ends, prompting governments to speed up procurement and expand production capacity.
In response, the European Commission has launched measures to accelerate defence manufacturing, including easing fiscal limits on defence spending and reducing regulatory barriers for companies. The proposal for the EU’s next seven-year budget allocates €131 billion for defence, a significant jump from the roughly €10 billion assigned in the 2021–2027 cycle.
Yet divisions remain among member states over whether to prioritise domestically produced European systems — which often face longer delivery timelines — or to purchase off-the-shelf foreign equipment to boost readiness more quickly. The debate is set to continue at an upcoming EU summit, where leaders are expected to adopt a defence readiness roadmap featuring key “flagship” initiatives such as an Eastern Flank drone wall.
The Commission is currently reviewing applications from 19 member states seeking financing from the €150 billion SAFE defence loan programme, with first disbursements anticipated by the end of the first quarter next year.
ASD Secretary General Camille Grand welcomed rising budgets and closer industrial collaboration but stressed the need for consistency. He warned that sustained investment is necessary to prevent repeating past cycles of underfunding. He added that a substantial share of defence procurement continues to go to non-European suppliers, underscoring the importance of strengthening “supply chain sovereignty” to ensure that European spending reinforces Europe’s own industrial base.
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Chickenpox Outbreak Spreads Through Gaza Camps as Overcrowding and Vaccine Gaps Raise Alarm
A chickenpox outbreak is spreading rapidly through displacement camps in Gaza, with around 9,300 cases recorded across more than 130 health facilities in just two weeks.
Doctors and health workers say the actual number of infections is likely much higher because many patients are treated in tents or local clinics and never reach hospitals. The UN health cluster attributed the rise to severe overcrowding, high summer temperatures and worsening access to clean water.
More than half of the reported cases were recorded in Khan Younis governorate. Health teams also registered more than 18,000 new cases of infectious skin diseases across Gaza during the same week, including scabies, head lice and impetigo.
Isolation, which is recommended for children with chickenpox, is nearly impossible in many displacement camps. Families of six or more often live together in tents measuring only a few square metres, while in some locations multiple families share a single tent.
Hamada Abu Ghali, who is displaced in Nuseirat, said doctors told his daughter to stay apart from other family members after she was diagnosed with chickenpox. But the family had no space to follow the advice.
“Before the war we had a house and rooms, but today all of us are in one tent,” he said.
Ahmed Abu Hussein, displaced in Deir al-Balah, said children continued to play together because families could not keep them inside cramped shelters.
“We can’t control them or keep them inside the tent, so the infection ends up spreading to the whole family,” he said.
At Al-Rantisi Children’s Hospital, paediatric consultant Dr Sharif Mattar said official figures probably represented only a fraction of the outbreak. Many children are treated in displacement sites and primary healthcare centres, leaving their cases out of hospital statistics.
Nurse Sheimaa Hajji said health centres were seeing more children with widespread rashes. Treatment has largely focused on easing itching and preventing secondary bacterial infections, but supplies are running short.
The outbreak is being worsened by a vaccination crisis. Bassam Zaqout, director of Medical Relief in Gaza, said thousands of children born during the war had been unable to complete routine vaccination schedules. Restrictions on vaccine deliveries have also limited efforts to improve community protection.
Health officials have warned that chickenpox can pose additional risks to pregnant women, while maternity services in Gaza remain severely limited.
The World Health Organisation said the health system continues to operate with restricted capacity because of damaged facilities, shortages of medicines and a lack of medical staff.
UN field teams have also reported unsafe water supplies and sewage flowing around displacement sites.
The UN health cluster has increased the distribution of fever medicines, anti-itch treatments and antibiotics for bacterial complications. Health education teams have also been deployed.
Aid agencies warn that these efforts will not be enough without a major increase in medical supplies, clean water and hygiene materials reaching Gaza.
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