In mid-December 2025, Members of the European Parliament from four parliamentary committees voted to adopt new proposals forming part of the so-called Omnibus V package. The measures are intended, among other things, to speed up the approval of permits for defense projects, facilitate exports of military equipment between EU member states, simplify public procurement, and improve access to financing. According to MEPs, Europe’s defense industry must produce more and in a more coordinated way, while also learning from Ukraine’s wartime experience.
“Across the European Union we are talking about accelerating economic processes. That is the purpose of various omnibus packages—regulations designed to simplify and partially deregulate EU law. But there is one very concrete, top-priority issue: how to speed up projects in the defense and arms sector. We know perfectly well that today this sector across Europe is not prepared for the challenges it faces,”
says Michał Kobosko, a Member of the European Parliament from Poland 2050, in an interview with Newseria.
According to data from the European Defence Agency, cited by the Council of the European Union, EU member states spent €343 billion on defense in 2024, equivalent to 1.9% of GDP. In 2025, spending is estimated to have risen to €381 billion, or 2.1% of GDP—an 11% increase year on year and nearly 63% more than in 2020.
“This is not about preparing for war in Europe, but about having production capabilities that allow us to rapidly scale up output if a threat emerges—and to deter any potential aggressor from even considering hostile plans against us. That is why we must very concretely change regulations and speed up processes that have taken far too long in Europe. Obtaining permits to build or expand industrial facilities—especially in the defense sector—has taken an unacceptably long time,”
Kobosko explains.
At the end of November 2025, the European Council agreed its position on the fifth Omnibus package, focused on simplifying rules for Europe’s defense industry. The package was originally adopted by the European Commission on 17 June 2024. Under the Commission’s mandate, the default timeframe for issuing permits for infrastructure projects would be 60 days, with a possible extension of up to 90 additional days. MEPs, however, argue that permits should be issued within 50 working days, with member states allowed to extend deadlines by up to 25 working days for large projects and up to 50 working days for projects of exceptional complexity, posing risks to health, safety, or the environment, or requiring special national security clearance.
“Today we are saying that 50 days should be the maximum period for issuing such approvals. Europe simply does not have the luxury of time. The situation has accelerated in a dangerous direction, and we must prepare our industry for new challenges,”
the politician stresses.
MEPs also backed the Commission’s approach to simplifying intra-EU transfers and procurement of defense-related products, including the use of simplified procedures for certain public contracts. For these procedures, lawmakers want to limit the use of components sourced from outside the EU, EFTA/EEA countries, and Ukraine to 35% of the estimated cost of the final product.
“This is one of the more controversial elements of the entire plan. During parliamentary work we debated how large the share of non-European suppliers should be. We are primarily talking about American suppliers—trusted partners from whom Poland buys a great deal of equipment—as well as suppliers from South Korea,”
Kobosko explains.
“The discussion today is about how much of this equipment Europe should purchase while at the same time decisively and consistently supporting the development of our own industry. It is obvious that development will not happen at the right pace without demand from governments and public authorities. That is why the 35% limit is debatable, and I believe we will continue discussing it, including possible exemptions where different percentages could apply.”
The simplification package also addresses Ukraine’s inclusion in Europe’s defense-industrial ecosystem. Under the Commission’s proposal, the costs of testing activities conducted in Ukraine should be eligible for funding from the European Defence Fund (EDF).
“Ukraine is, of course, not a member of the European Union, but we know very well that Europe’s armies have much to learn from the Ukrainian army, which has gained hard-won combat experience and knows how to defend itself. Europe’s defense industry should also learn from Ukrainian arms factories—how a peacetime economy had to be shifted into a wartime mode. Bringing Ukraine into Europe’s defense-industrial system is therefore right and makes deep sense,”
the MEP emphasizes.
According to the European Commission, Omnibus V is designed to ensure that small and medium-sized enterprises (SMEs) in the defense sector can fully realize their innovation potential. MEPs agree with proposals to simplify the management and implementation of the EDF. Parliamentary committees supported reducing reporting and documentation requirements to increase SME participation in the fund.
“I am convinced that the new regulations will have a very significant impact on Europe’s defense industry and on SMEs. For years it developed unevenly, depending on the country. For decades it mainly served arms exports outside Europe—to Africa, Asia, and South America, which were the main customers of European arms manufacturers,”
Kobosko says.
“This is a huge opportunity for Polish SMEs. As large defense plants in Europe grow, so will their networks of suppliers and subcontractors from the SME sector. In my view, this is a positive signal that will lift the smallest companies—those that previously struggled to reach major customers and secure contracts with large defense firms.”
