Ursula von der leyen He announced it in February last year and in the end he really did it: the European Commission presented the Rearm Europe plan To increase the military expenditureproviding for a mobilization from 800 billion euros.
THE’EU is crushed between the growing disinterest USA and the concrete threat of the Russia who took Crimea in 2014, attacked the Ukraine of the East in 2022 and in the meantime has implemented a hybrid war to condition the elections in the countries of the former Soviet bloc, and beyond. The plan will be discussed during the extraordinary European Council on Thursday 6 March.
What does the rearm plan of Europe foresees
In February 2024 Ursula von der Leyen had spoken of the “illusion” of permanent peace finally “shattered” due to Putin’s aims. For this reason he had announced the need for important investments to produce more weapons.
Ursula von der Leyen’s rearma plan provides for a safeguard clause For the debt that allows the states of spoving the constraints of Stability pact To invest in defense, up to a maximum of 650 billion euros in four years.
A new 150 billion euro fund intended for loans for the military expenses of the Member States is expected. The origin of the funds is still uncertain, with hypotheses on the use of unused resources of the PNRR, cohesion funds and the stability mechanism.
It is then expected to encourage the use of cohesion programs to finance military spending. The European investment bank could be involved in attracting private capital.
In addition to strengthening the deterrence European to ensure political and economic stability, the plan provides for the concrete possibility of responding to short and long -term safety needs, including the defense of Ukraine.
During the meeting on Thursday 6 March the details will be clarified, including the detailed financial framework and the methods of implementing the plan.
Actions in the war industry grow grow
Each war and every proclamation of war investments gives a boost to the war industry, enriching those who have invested in arms. Let’s see how the actions have grown between some of the main producers of weapons and defense systems starting from the Russian invasion of Ukraine in February 2022.
| Agency | Late February 2022 | March 4, 2025 |
| Leonardo | 6.95 euros | 43.50 euros |
| Thales Group | 91.98 euros | 228 euros |
| Dassault Aviation | 124.50 euros | 275.20 euros |
| Rheinmetall | 256.79 euros | 1,125.50 euros |
| Heckler & Koch | 72.44 euros | 116 euros |
| Bae system | 653 pounds | 1,568 pounds |
| Rolls-Royce Defense | 106.08 pounds | 785,60 pounds |
| Indra systemas | 9.71 euros | 23.70 euros |
Investing in the war industries
That proposal is only a small selection of the war industries that have seen their actions splash. Despite peace in Ukraine (or rather the surrender) both upon us, much of the analysts agrees on the fact that the prices of the war industries will continue to rise in the years to come, driven by the greatest investments wanted by the European Commission.
By making the predictions last December, we had tried to identify where it was better to invest in 2025. The defense, which we mentioned as one of the sectors to focus on, is proving to be one of the most profitable sectors for investments in shares in 2025.
The unknown remains regarding the relationship between public debt and GDP: Moody’s had already warned the risk of the surge in the debt in the event of a massive military expenditure.
