NATO Summit in Ankara announces over $50 billion in defence deals

Aviation and Early Warning Systems (ISR)

Among the key announcements was the modernisation of the air fleet, including the purchase of Swedish Saab GlobalEye early-warning aircraft. NATO has begun formal negotiations to procure up to 10 airborne early warning and control (AEW&C) aircraft worth $4.5 billion. These aircraft will replace the aging E-3 AWACS fleet, providing simultaneous surveillance of land, air, and maritime domains.

Another important step was the decision regarding the MQ-4C Triton drones. Denmark, Finland, Germany, and Norway signed a letter of intent regarding the joint purchase of up to five unmanned aerial vehicles manufactured by the American company Northrop Grumman. These aircraft can remain aloft at high altitudes for over 30 hours and will be used to monitor vast maritime areas, including shipping lanes and the Arctic.

Discussions during the forum also focused on the joint Airbus A400M transport fleet. Seven countries – Belgium, Croatia, France, Poland, Spain, Türkiye, and the United Kingdom – have launched a new international High Visibility Project to build and share a fleet of these aircraft. At the same time, Finland’s accession to the joint Airbus A330 Multi-Role Tanker Transport (MRTT) program and the imminent delivery of the tenth aircraft of this type were announced.

Missile Production and Missile Defence

The US-based Lockheed Martin and Germany’s Rheinmetall have signed a memorandum of understanding to establish production of ATACMS ballistic missiles in Germany. This is the first production line for this type of missile outside the United States, which will help fill gaps in the supply chains for war-torn Ukraine and NATO countries. Production is to take place, among other locations, at Rheinmetall’s Unterlüß plant, where rocket engine production capabilities are also being developed. Production of engines and components for the guided missiles could begin as early as 2027. The agreement is part of a broader process of transferring some US production capabilities to Europe and strengthening the European defence industry.

Also worth mentioning is the intergovernmental agreement signed by the United States, Germany, the Netherlands, Poland, and Sweden to explore the possibility of establishing a dedicated service centre in Europe for PAC-3 missiles, used in Patriot systems. While the facility’s location has not yet been determined, it is already known that the planned facility will enable maintenance and repair work to be conducted directly in Europe, reducing missile downtime and increasing their operational availability. This is particularly important given the growing demand for air and missile defence systems and the need to maintain high operational readiness among European Patriot users.

Drone Defence – What Is the $40 Billion NATO Drone Edge Initiative?

The growing importance of unmanned systems on the modern battlefield is also reflected in the launch of the NATO Drone Edge initiative. As NATO Secretary General Mark Rutte emphasised, the experience of the war in Ukraine, conflicts in the Middle East, and repeated incidents involving drones within the Alliance demonstrate the need for rapid development of both large-scale drone capabilities and countermeasures.

The project’s main objectives are based on four pillars:

• Development of drone defence: A significant portion of the $40 billion budget will be allocated to the development and implementation of advanced systems for the early detection, identification, and neutralisation of hostile drones.
• Counter-drone systems market: NATO is launching a dedicated market that will facilitate and significantly accelerate the mass procurement of counter-drone equipment and surveillance drones. The NATO Support and Procurement Agency (NSPA) will oversee contracts worth hundreds of millions of euros.
• Intensive operator training: Equipment development requires adequate personnel, which is why allied nations have committed to increasing the number of military drone operators in their armies fivefold by the end of 2027.
• Expanding the training base (NATO Flight Training Europe): The Alliance is significantly expanding its training capabilities. During the summit, it was announced that Finland, France, and Sweden have joined a joint flight training project. This will expand the program to 20 allied nations, with a total of 16 training centres.

Satellite Technology and Space Operations

The Hybrid Alliance Layered Operations in Space (HALO) initiative is also crucial for developing space capabilities. Eight NATO nations – Denmark, Canada, Finland, Germany, Norway, the Netherlands, Sweden, and Türkiye – have launched a project to explore the creation of a network...