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EU Races to Finalize Defence Omnibus as Divisions Over Eligibility Persist

EU Races to Finalize Defence Omnibus as Divisions Over Eligibility Persist
Politics · 2026
Photo · Anna Schroeder for European Pulse
By Anna Schroeder Brussels Bureau Chief May 19, 2026 4 min read

Negotiators from the European Commission, the European Parliament, and the Cypriot presidency of the Council of the European Union met in Brussels on Tuesday to advance the so-called "Defence Readiness Omnibus" — a package of measures designed to reduce bureaucracy, increase transparency, and accelerate domestic defence production in response to mounting security challenges.

The omnibus, proposed a year ago, aims to streamline joint procurement rules, simplify access to the European Defence Fund (EDF), and create more predictable conditions for industry. However, significant disagreements remain, particularly over eligibility criteria, exposing a long-standing tension between deeper European defence integration and national sovereignty over procurement and industrial policy.

Urgency Amid Geopolitical Shifts

The push for a more self-reliant European defence posture has gained urgency following Russia's full-scale invasion of Ukraine in 2022 and the increasingly unpredictable stance of the United States under President Donald Trump, who has threatened to withdraw from NATO and escalated rhetoric about annexing Greenland. EU High Representative Kaja Kallas recently warned in Tallinn, Estonia, that "Russia is gearing up its military for a long-term confrontation with the West." She added, "Whether Putin dares to test NATO at some point depends entirely on us. Deterrence works if it is credible; showing weakness only invites aggression."

European defence companies have called for more consistency and less red tape, with the EU executive acknowledging delays of up to a year in approving certain defence authorizations. One diplomatic source told Euronews on condition of anonymity that "we aren't procuring what we have pledged and Russia sees weakness," noting that stockpiles are empty and industry claims no orders have been filled by governments.

The Commission's omnibus, informed by input from over 34 European defence companies, seeks to address these bottlenecks. A Cypriot official said they are "working hard" to deliver the entire package before their term ends in June, though another negotiator acknowledged "many open issues."

Eligibility Criteria Remain Sticking Point

The Commission's proposal incentivizes defence procurement projects involving at least three member states, among other conditions. This preference varies widely: France traditionally pushes for stricter European preference rules, while countries like Poland seek greater flexibility. European governments jealously guard their sovereignty in defence matters. One diplomatic source warned that tightening eligibility criteria could "have an impact on the sovereignty of member states for defence-related matters," while another stressed that "European governments might have different interests at stake to determine when a product is sensitive or not." They added, "The Commission cannot just remove this national prerogative saying this is too complicated."

Henrik Dahl, a Danish MEP and key negotiator on the permits file, expressed cautious optimism early Tuesday before another round of trilogue debates. "We would like to conclude the trialogue today," he said, noting that compromises could be reached on issues like a transparency register and establishing a single point of contact. However, he emphasized the urgency: "We have to be ready by 2030 now. Each day counts. I hope we can finish this." A source close to the negotiations confirmed a breakthrough on defence readiness and permit-granting, but the eligibility criteria remain a major headache.

Industry and Spending Trends

The latest report from the European Defence Agency (EDA) shows that defence expenditure across the continent reached an unprecedented €343 billion in 2024, a 19% rise from 2023, bringing spending to 1.9% of GDP. The EDA attributes this increase to "geopolitical shifts" and pressure from Trump to raise NATO spending targets. However, the report notes that "legitimate industrial interests, bureaucratic complexity, protracted decision-making processes and unaligned planning cycles often hamper collaborative defence programmes," calling for more collaboration and less fragmentation.

The trilogue is not the final step. Once approved, the omnibus must be ratified by the European Parliament and then receive support from all 27 EU member states at a summit of the Council of the European Union. Questions remain over whether time is on the bloc's side, as several national security services have warned that Russia could be able to attack NATO territory within a few years.

For context, the EU's broader defence challenges are compounded by other pressures, such as the need for budget overhaul to accommodate defence, climate, and enlargement priorities. Meanwhile, some member states are exploring regional approaches to energy and security, as seen in the resistance to centralized grid plans by five EU states.

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