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The Dutch say that the tight defense market leaves 750 million euros in Ukrainian aid unused

PARIS – The Netherlands will not be able to spend €750 million (US$790 million) in military aid to Ukraine this year due to the tight global market for defense equipment, Dutch Defense Minister Ruben Brekelmans said.

Military aid to Ukraine has shifted from equipment supplied from stockpiles at the start of the country’s fight against invading Russian forces to newly produced equipment now, Brekelmans said in a report. letter to the Dutch parliament on Tuesday. The international defense industry is being “double burdened” by demand from countries seeking to strengthen their own militaries and provide support to Ukraine, which is affecting delivery schedules, the minister said.

The Netherlands pays for equipment upon delivery and will no longer be able to realize 750 million euros in planned military aid this year, Brekelmans said. The unspent funds will be transferred to the 2025 defense budget and will continue to be earmarked for providing support to Ukraine.

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“The money is therefore not lost and the planned destination remains unchanged,” says Brekelmans.

According to the Dutch minister, the Ukrainian defense industry is confronted with the same tight market. While local defense companies would benefit from significant investments, something the Netherlands is working on, Ukraine does not have significant quantities of equipment that could be delivered this year, he said.

The Netherlands has pledged €10.4 billion in military aid to Ukraine, of which €9.5 billion has either been realised, legally committed or being negotiated with partners and suppliers in preparation for an agreement, Brekelmans said.

The country has plans for the remaining 970 million euros aimed at meeting Ukraine’s urgent needs, especially in the short term, he said.

“By the way, a significant part of this remaining budget will be used to purchase equipment directly from the Ukrainian defense industry,” Brekelmans told parliament. “While these plans are not yet in the implementation phase, any new changes would delay the delivery of urgent military support.”

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The Dutch government coalition has agreed to continue to actively support Ukraine ‘politically, militarily, financially and morally’.

Countries across Europe have increased their defense budgets following Russia’s aggression against Ukraine, and European Union countries’ spending on equipment has fallen. prediction to climb according to the European Defense Agency from 61 billion euros in 2023 to 90 billion euros this year.

EU countries are buying more weapons to replenish depleted stockpiles by providing military aid to Ukraine, addressing capability gaps and increasing preparedness for high-intensity conflicts, the EDA said in a report on Wednesday. European military hardware suppliers such as KNDS, Rheinmetall, Saab and MBDA have all reported record order books.

Dutch military aid to Ukraine includes 24 F-16 fighters, a Patriot air defense system, main battle tanks including 14 Leopard 2A4s, hundreds of YPR armored personal aircraft carriers and two mine hunting ships.

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