The head of Germany's largest military contractor, Rheinmetall, Armin Papperger, has called on European countries to create larger and more specialized defense groups to compete with rivals from the United States, the Financial Times reports.
He also believes that if Europe wants closer cooperation in defense, countries need to specialize in different types of military technologies.
"It doesn't make much sense if we, say, choose the second or third best technology because one nation wants it for nationalistic reasons. This is the most difficult discussion they have at the governmental level... We need big companies in Europe," he said.
It is noted that the efforts of EU leaders to strengthen cooperation in the defense sector have reached a dead end due to the fragmentation of the industry. European arms companies compete with each other, military budgets are controlled at the national level, and individual countries seek to maintain control over strategic supply chains, factories, jobs, and technological advantages.
According to Papperger, the race to restore the country's military power will continue regardless of who is in the White House after the US elections.
"The US pays more attention to the Asia-Pacific region than to Europe. If the very risky situation in the region leads to a full-scale armed conflict, the US will focus on Asia, and then Europe will be left alone," he emphasized.
According to the Financial Times, in recent decades, European leaders have taken for granted that the United States would come to the continent's aid in the event of a military threat, but "this will not happen again," Pepperger said.
It is also noted that after Russia's full-scale invasion of Ukraine in 2022, Rheinmetall's share price increased more than fivefold, and the company expects to have a €60 billion order book from NATO members and its allies by the end of 2024.
