The military industry demands long-term orders to be able to meet the lack of stock generated by the war in Ukraine

He points out that, in the case of ammunition or missiles, it is also necessary to have enough raw materials

MADRID, 5 Mar. (EUROPA PRESS) -

The military industry warns that it needs to have a long-term scenario with stable orders and programs over time in order to increase its production and thus alleviate the shortage in the arsenals of all the countries that the war in Ukraine is generating.

This was explained in an interview with Europa Press by the general director of the Spanish Association of Defense, Security, Aeronautics and Space Technologies (TEDAE), César Ramos, after alerts from several countries to replace the weapons that are being sent to Ukraine.

As he explains, the productive capacity of the defense industry responds to the demand it receives and is linked to two factors: domestic demand and exports. And currently, the Russian military offensive has generated higher levels of demand and to which the military industries of all countries are having to respond.

Thus, in order to increase production capacity and make the necessary investments, defense companies call for a "known long-term" scenario with stable programs and orders over time. "In this way, the necessary certainty will be available to make investments both in RD for the development of technologies and digital transformation for the adaptation of production centers," explains Ramos.

In the particular case of missiles, ammunition and main means of combat, he adds that it is necessary for their rapid replacement to have adequate levels of supply of raw materials.

Precisely this week the High Representative of the EU for Foreign Policy, Josep Borrell, proposed to the Member States of the European Union a plan of 1,000 million euros to guarantee the supply of artillery ammunition to Ukraine, especially 155 caliber.

Added to all this is the fact that increasing production also means an increase in staff, to which the general director of TEDAE recalls that the training of the necessary technical staff cannot be easily improvised either.

As he emphasizes, the increase in production forces the industry to invest to adapt its productive capacity. "And we see ourselves, like the rest of the industries, affected by the rise in interest rates, as well as by the increase in the cost of raw materials and energy sources," he warns.

With this, the military industry explains that not only is an increase in defense budgets necessary, but companies require that investments be provided with "stability and predictability", as well as better coordination between military planners and the industry. .

"The communication between clients and suppliers and the stability of the investments would help to establish a better forecast in the production needs by the industry," insists Ramos, who bases all this approach on a political agreement. "This is what is happening in other countries with which we compete and where we look at each other and that is why we are calling for a political alliance that favors the long-term development of an industry that has proven to be strategic," he argues.

In fact, it ensures that the defense industry is already adapting its production means to serve the demand that has been generated and that forecast with the growth of military spending, with an increase of 25.8% in 2023 in the Budget of the Ministry of Defense in Spain.

According to him, his efforts are now focused on two vectors: the replacement of the material sent to Ukraine and, on the other hand, the development of long-term programs demanded by the countries "in view of the threat that has been generated in recent years to their freedoms and model of life".