Uneven recovery looms over European defence industry
Will the European defence industry experience an uneven economic recovery from COVID? (Photo: Airbus)
Tier 1 companies in Europe have weathered the COVID storm so far, but how are governments addressing the needs of essential SMEs?
As economists debate what type of post-COVID economic recovery will emerge, it is the ‘K-shape’ that defined European business fortunes during the first year of the pandemic.
In economic jargon, this denotes an uneven recovery, as specific sectors or companies resume growth while others languish in recession and stagnation.
Major aerospace and defence companies in Europe have coped relatively well with COVID so far. The most significant divergence in FY2020 revenues came between firms that derived a higher proportion of their income from commercial aviation and those solely focused on the defence market.
Companies such as Airbus, Safran, Rolls-Royce and
Already have an account? Log in
Want to keep reading this article?
More from Defence Notes
-
![UK faces cost of balancing defensive capabilities abroad as Iran conflict widens]()
UK faces cost of balancing defensive capabilities abroad as Iran conflict widens
The UK has recently deployed a Type 45 destroyer to Cyprus and has bolstered its presence in the Middle East in recent weeks with supporting air power to protect neighbouring countries’ air defences.
-
![India’s strategic defence footprint expansion could be accelerated by Iran-Israel conflict]()
India’s strategic defence footprint expansion could be accelerated by Iran-Israel conflict
The latest escalation between Iran and Israel could shape New Delhi’s next-generation shield as India deepens cooperation with Israel on missile defence and drone production.
-
![Is the US magazine of air defence interceptors deep enough to sustain a long campaign against Iran?]()
Is the US magazine of air defence interceptors deep enough to sustain a long campaign against Iran?
The Pentagon spent a considerable number of THAAD and SM-3 rounds to defend against Iranian missiles in 2025 and has not fully replenished its reserves.
-
![New Zealand buys tri-service uncrewed kit from Syos Aerospace]()
New Zealand buys tri-service uncrewed kit from Syos Aerospace
As uncrewed technology continues to play an increasingly central role in modern military activities, New Zealand’s recent acquisitions point towards its the force’s focus on cost-effective capability.
