CEO Thales presses on the cost of defense in Europe to stay in the region

Europe must “take its destiny into its own hands” and seek to preserve new defense budgets within its own borders, according to the CEO of the French defensive giant Chunk.

The European Union plans mobilize as much as 800 billion euros (841 billion dollars) to increase defense costs. The announcement occurred after the US reportedly reported stopped military assistance In Ukraine, the pressure on the block is increased to take action.

“For Europe, it sounds logical to take its fate and, if necessary, build more and more opportunities in engineering, R&D, industry,” said Tuesday CEO of Thales Patrice CNBC, after EU President Ursul von Leyen told the so-called EUROPE plan.

Kane told CNBC that, in his view, European companies made sense to become recipients of increasing costs.

“This is exactly what is happening in the US, and we’re also an American player, so we know how it is. The US supplies its defense equipment systems, and it is ok. Australia they do the same thing, the UK is doing the same thing – so why should Europe do it?”

“If you want to be autonomous if you want to give meaning to the word sovereignty, you need to be independent of third parties and be as self-sufficient as possible,” he said, adding that European defense is capable of satisfying demand.

The chief leader said that France was an example of a European country, it is 100% self -sufficient. “This is only a political willingness to buy more and more from European suppliers, not suppliers based outside Europe,” he said.

TV on Tuesday reported higher income and profit For 2024.

Kain said the “Europe plan” strategy pushes the company’s confidence when it came to her future work, Kane said.

“This strengthens our own conviction that we see a decade of talented growth in defense – it will not change the equation by 2025, but obviously it is positive in the long run,” he said, emphasizing that the “gap” and any increase in orders between the plan will be.

“It takes a little time, say, two years, from a political decision to a contract that operates. Thus, in the future it will show, but for Europe it is very positive to see this strong political impulse,” he said.

Europe is under pressure to increase defense budgets after US President Donald Trump’s requirements What NATO European Allies spend up to 5% of GDP defense. Like the EU, recently announced the UK Significant hike for protection costsWhen Prime Minister Keir Starmer promised that the UK will spend 2.5% of his GDP for defense by 2027.

European Defense Actions rallied as a result of the talks between the President of the European Commission Urusul von der Leyen, Starmer and other leaders to increase defense budgets. Thales purchased 60% since the beginning of the year, while Germany Hansoldt and Sweden Sab During 2025, they received 85.5% and 52% respectively.

However, like Kayne, some analysts warn that it will take time to make the new defense policies.

“Defense is a national security issue, so to appreciate these companies based on the news we are currently becoming more complicated,” CNBC leader said on Monday, “Christian Mueller-Glissmann”, the head of the asset distribution study in Goldman Sachs.

“The problem is that if you have such great regime changes, these companies can change as they make money and how they are built into the national security fabric. I understand why they will come together, there will be much more protection costs, but it will be a long process.”