Germany Unveils €350 Billion Plan to Build Europe’s Strongest Armed Forces by 2041

Berlin, August 2025 – Germany’s Ministry of Defence has unveiled an ambitious long-term roadmap for the modernisation of the Bundeswehr, pledging over €350 billion in investments by 2041. The plan, described as the most comprehensive rearmament since the Cold War, seeks to establish Germany as the holder of Europe’s strongest conventional military.

Massive Budget Expansion

For 2025, Berlin will spend €8.2 billion on new weapons procurement. According to the draft 2026 budget, that figure will jump to €22.3 billion, underscoring the acceleration of the modernisation drive.

The peak of investment is scheduled for 2029 and 2030, when annual equipment spending will surpass €52 billion, marking the height of the Bundeswehr’s transformation into a modern, fully equipped force.

Priority Areas of Investment

The long-term plan divides spending into key capability areas:

• Ammunition: €70.3 billion allocated, reflecting lessons from the Ukraine war about stockpile shortages.

• Combat Vehicles: €52.5 billion, with a strong emphasis on heavy armour and mobile firepower.

• Aircraft and Missile Ammunition: €34.2 billion for fighter jets, drones, and air defence.

• Naval Vessels and Equipment: €36.6 billion, aimed at modernising the German Navy’s surface and undersea fleet.

Major Procurement Programs

Key acquisitions under the plan include:

• 20 Eurofighter Typhoon multirole aircraft, enhancing Germany’s air combat and NATO interoperability.

• Up to 5,000 Boxer wheeled armoured personnel carriers in multiple variants, including the advanced Skyranger air defence system version.

• Replacement of older Fuchs APCs with 3,500 new-generation vehicles.

• Procurement of several hundred upgraded Leopard 2 main battle tanks, ensuring continued dominance in Europe’s armoured warfare.

• Expansion of the Navy with additional frigates, submarines, and support vessels to secure Germany’s role in NATO’s northern and Baltic Sea defence.

Strategic Goals

The German government has stressed that this program is designed to:

1. Strengthen NATO’s European pillar by ensuring Germany can take a lead role in deterrence.

2. Guarantee rapid deployment capabilities, especially on NATO’s eastern flank.

3. Increase industrial output in the defence sector, ensuring long-term self-sufficiency in ammunition and weapons systems.

Defence Minister Boris Pistorius has repeatedly argued that the Bundeswehr must be made “war-ready” in response to a deteriorating security environment marked by Russia’s ongoing war in Ukraine and growing global instability.

Germany’s Defence Reset

The €350 billion plan is a continuation of Germany’s “Zeitenwende” (turning point) strategy, first announced in 2022 after Russia’s invasion of Ukraine. At that time, Chancellor Olaf Scholz established a €100 billion special fund to begin urgent upgrades. The new roadmap extends that vision into a multi-decade transformation, ensuring steady investment until 2041.

Industrial and Allied Impact

German defence firms such as Rheinmetall, Krauss-Maffei Wegmann, and Hensoldt are expected to be major beneficiaries, producing tanks, vehicles, and advanced sensors. At the same time, international cooperation will remain vital, with joint European programs like the Future Combat Air System (FCAS) and the Main Ground Combat System (MGCS) set to complement national projects.

With over €350 billion earmarked, Germany is committing to building the largest and most capable conventional armed forces in Europe. The plan signals a decisive shift in German defence policy—from decades of restraint to a posture of leadership and preparedness within NATO.

By 2041, if fully realised, the Bundeswehr will be transformed into a modern, heavily equipped force with unmatched firepower, mobility, and resilience on the continent.