The European Union is setting aside €500 million ($551 million) to boost manufacturing of artillery shells, missiles and gunpowder in an effort to speed up production of ammunition for Ukraine and galvanize the bloc’s defense industry, APA reports citing Bloomberg.
Among a raft of measures, the European Commission proposed the funds to co-finance projects alongside EU governments. It offered around half of the funding for companies to ramp up output capacity or refit old stocks of ammunition to make them operational again.
“The Act we are proposing is unprecedented,” Thierry Breton, the internal market commissioner, said in comments shared ahead of the proposal. “It aims to directly support, with EU money, the ramp-up of our defense industry for Ukraine and for our own security.”