This Week in Defence — Brussels (#26, 2026)
SAFE procurement: Canada-EU deal published; Commission enforces NIS2 cybersecurity rules; von der Leyen details defence funding at NATO; AI and cyber resilience plan out.
July 05, 2026 to July 11, 2026
SAFE procurement: Canada-EU deal published; Commission enforces NIS2 cybersecurity rules; von der Leyen details defence funding at NATO; AI and cyber resilience plan out.
📋 In This Week's Newsletter
• 📅 This Week's Calendar in Brussels
• 🇪🇺 European Commission
• ⚖️ EU Legislation
• 🤝 EU Council
• ✒️ EP Committee Work
• 📚 What We're Reading This Week
This Week's Calendar in Brussels
- Foreign Affairs Council: On July 13, the EU Council's Foreign Affairs Council configuration is scheduled to hold an ministerial meeting in Brussels.
- Committee on Foreign Affairs (AFET): On July 14, the European Parliament's Committee on Foreign Affairs (AFET) is scheduled to meet. Agenda includes: Chair’s announcements; Dialogue on the Reform and Growth Facility for Moldova; Dialogue on the Reform and Growth Facility for the Western Balkans.
- Committee on Foreign Affairs (AFET): On July 14, the European Parliament's Committee on Foreign Affairs (AFET) is scheduled to meet. Agenda includes: * * *; Chair’s announcements; Date of next meetings.
- Subcommittee on Security and Defence (SEDE): On July 14, the European Parliament's Subcommittee on Security and Defence (SEDE) is scheduled to meet. Agenda includes: Chair’s announcements; Coordinators’ meeting; Date of next meetings.
- Subcommittee on Security and Defence (SEDE): On July 15, the European Parliament's Subcommittee on Security and Defence (SEDE) is scheduled to meet. Agenda includes: Ambassadors' slot: Exchange of views with Ambassador Jestas Abuok Nyamanga, Head of Mission of the United Republic of Tanzania to the European Union; Chair’s announcements; Chair’s announcements concerning coordinators’ decisions.
- Subcommittee on Security and Defence (SEDE): On July 15, the European Parliament's Subcommittee on Security and Defence (SEDE) is scheduled to meet. Agenda includes: Chair’s announcements; Date of next meetings; *** End of electronic vote ***.
European Commission
Commission refers four Member States to Court over NIS2 Directive transposition
On 7 July, the European Commission referred Ireland, Spain, France, and the Netherlands to the Court of Justice of the European Union for failure to notify measures transposing the NIS2 Directive (Directive (EU) 2022/2555) into national law. The Member States missed the transposition deadline of 17 October 2024, despite receiving letters of formal notice on 28 November 2024 and reasoned opinions on 7 May 2025. The Commission requested financial sanctions in the form of a lump sum and daily penalties. The Directive covers cybersecurity requirements for entities in 18 critical sectors. Targeted amendments to clarify implementation had also been proposed by the Commission on 20 January 2026.
Von der Leyen outlines EU defence funding and interoperability at NATO Summit Defence Industry Forum
President Ursula von der Leyen participated in a panel at the NATO Summit Defence Industry Forum on 6 July. She detailed the EU's 'ReArm Europe' programme (up to €800 billion by 2030), SAFE (€150 billion for joint procurement), and provisions for military mobility in the next long-term budget (€131 billion plus €17 billion). She cited 10 agreements under the SAFE instrument, totaling €100 billion, and explained the openness of 35% of procurement to non-EU countries, with Canada the first partner under this arrangement. Von der Leyen described the new Innovation Office in Kyiv, collaboration on joint ventures with Ukrainian defence industry, and plans for technology transfer and interoperability within NATO and the EU. She underscored the alignment with NATO's Defence Planning Process.
Commission presents EU Action Plan on Cybersecurity and Artificial Intelligence
On 6 July, the European Commission presented an Action Plan to address cybersecurity risks from advanced artificial intelligence (AI) models. Under the AI Act, advanced AI models must be evaluated before EU market placement. The Action Plan includes an EU evaluation capacity initiative, operational by 2027, to strengthen third-party assessments. The EU Agency for Cybersecurity (ENISA) and the Joint Research Centre will collaborate on a secure AI testing platform for critical sectors. The Plan sets out guidance for structured access to AI, increased use of AI in vulnerability management, and a Critical Open Source Resilience Campaign. The Action Plan references the forthcoming Cyber Resilience Act, NIS2, DORA, and the Cyber Solidarity Act for sectoral obligations.
Executive Vice-President Virkkunen details operationalisation of AI-cybersecurity link
On 6 July, Executive Vice-President Henna Virkkunen delivered remarks on the Action Plan on Cybersecurity and Artificial Intelligence. She described the threat landscape, in which AI accelerates the identification and exploitation of vulnerabilities. Virkkunen highlighted imminent enforcement by the AI Office, upcoming calls for expanding the EU’s AI model evaluation capacity, and upcoming partnerships with ENISA. She stated that a European Blueprint for AI access would be developed, with support for public and private sector operators. Virkkunen cited the planned secure test platform for AI in cybersecurity, as well as support mechanisms for open-source software maintainers addressing critical vulnerabilities. She outlined a focus on scaling EU AI frontier models, leveraging new EU tech equity initiatives.
Commission issues €11 billion in EU-Bonds to finance defence, Ukraine, and resilience
On 6 July, the European Commission raised €11 billion in its seventh syndicated transaction for 2026, including a €6 billion 5-year bond (maturing October 2031) and a €5 billion tap of a 20-year bond (maturing October 2046). The transaction contributes to the €80 billion funding target for H2 2026, with proceeds allocated to EU priorities such as Ukraine support and defence investments under the SAFE instrument. Outstanding EU debt now stands at approximately €827.16 billion, with €84.2 billion in NextGenerationEU Green Bonds. The bonds were managed by Deutsche Bank, HSBC, LBBW, Morgan Stanley, and Société Générale.
EU Legislation (Official Journal)
EU-Canada procurement agreement under SAFE Instrument enters into force
The Official Journal published information on 10 July 2026 on the entry into force of the Agreement between the European Union and Canada regarding procurement under the SAFE Instrument (OJ L 2026/1699, CELEX: 32026X1699). The agreement, signed in Munich on 14 February 2026, takes effect on 1 August 2026, following procedures under Article 15(2). Canadian legal entities and products originating in Canada will be eligible for participation in joint procurement.
EU Council
Competitiveness Council ministers meet informally on internal market and industry
Competitiveness Council ministers held an informal meeting on 9 July, discussing internal market and industry.
EP Committee Work
AFET drafts opinion on 2027 EU general budget with foreign affairs focus
On 6 July, the Committee on Foreign Affairs (AFET) released a draft opinion on the EU's general budget for 2027 (rapporteur: Matjaž Nemec). The document addresses budget allocations relevant to foreign affairs and outlines funding priorities.
SEDE Subcommittee discusses Security and Defence issues in Strasbourg meeting
The Subcommittee on Security and Defence (SEDE) convened on 8 July in Strasbourg to review agenda items relating to EU security and defence. Topics included defence cooperation, cyber resilience, and the state of Europe's strategic autonomy.
What We're Reading This Week
- Russia accuses Ukraine of targeting civilian infrastructure in overnight strikes: Russia claims Ukrainian forces attacked non-military sites overnight, escalating tensions over targeting civilian infrastructure in the conflict.
- Video. Third tanker hit in Strait of Hormuz in 24 hours, UKMTO says: Tensions escalate in key oil transit route as a third tanker sustains damage in the Strait of Hormuz within one day.
- Video. Militant group Hamas announces dissolution of Gaza governing body: Hamas has disbanded its Gaza administrative committee, potentially paving the way for new governance arrangements in the territory.
- Video. Ukraine's ambassador on enlargement: focus on substance, not titles: Ukraine urges EU leaders to prioritize meaningful progress in membership talks over symbolic gestures or formal titles.
- Video. Oil tanker reportedly hit by 'unknown projectile' in Strait of Hormuz: An oil tanker sustained damage in the Strait of Hormuz after being struck by an unidentified object, raising regional tensions.
