As announced in January, BLOMSTEIN is publishing a series of briefings introducing European and German legal issues for the security and defense sector. In our last briefing we provided an overview of new funding opportunities made available to industry by the European Investment Bank.

This issue deals with various new ESG obligations for the defense and security industry. Companies in this sector are subject to a wide range of regulatory obligations. For some time now, these have included ESG obligations in particular. The number of new requirements for companies in this area is high. There were already some changes in the first half of the year (see our corresponding ESG briefings). This briefing provides an overview of the latest developments in Germany and at European level in the ESG area and their impact on the defense and security industry.

As in the previous Series A 2021 and Series B 2023 financing rounds, BLOMSTEIN also supported the DeepTech company Helsing in its EUR 450 million Series C financing round with regard to foreign direct investment control law.

As announced in January, BLOMSTEIN is publishing a series of briefings introducing into European and German legal defence matters. In our last briefing, we gave an overview over EU funding opportunities for defence and security projects and focused specifically on the legal remedies available against grant allocation decisions in the context of EU defence funding.

This edition is on new funding opportunities for the defence and security sector provided by the European Investment Bank (EIB). The EIB, an institution of the European Union, stands as one of the foremost financiers of climate-related initiatives. Since its inception in 1958, the EIB has extended loans and expert advice to thousands of projects across more than 160 countries. The EIB is dedicated to promoting sectors that significantly enhance growth, employment, regional cohesion, and environmental sustainability within Europe and globally. Recognizing the increasing importance of security in Europe, the EIB has revised its statutes this year to explicitly incorporate security-related activities within the scope of its financing capabilities.

As announced in January, BLOMSTEIN is publishing a series of briefings introducing into European and German legal defence matters. In our last briefing, we gave an overview over the legal framework for joint procurements in the fields of defence and security.

This edition EU funding opportunities for defence and security projects and focuses specifically on the legal remedies available against grant allocation decisions in the context of EU defence funding.

As announced in January, BLOMSTEIN is publishing a series of briefings introducing into European and German legal defence matters. In our last briefing, we have provided some insight into the regulatory framework for the defence industry to produce and sell from the EU.

The cooperation of EU Member States regarding defence and security policy and activities ranks high on the European Union’s agenda. This includes EU Member States’ joint procurement of military and sensitive equipment within the meaning of Directive 2009/81 on procurements in the fields of defence and security. Advantages of such joint procurements to national procedures are manifold, including cost reductions through scale economies, facilitated in-use collaboration due to increased interoperability of material and a strengthening of allies.

This briefing gives an overview over the legal framework of such joint procurements. In practice, EU Member States assign the task of procuring equipment from suppliers (mainly private companies) to a single entity (Executive Entity), which, in turn, conducts the procurement for (the benefit of) all participating EU Member States. Candidates for the role as Executive Entity are, firstly, states – participating EU Member States or third countries – acting as a “lead nation”. However, multinational institutions such as the European Defence Agency (EDA), NATO Support and Procurement Agency (NSPA) or Organisation Conjointe de Coopération en Matière d’Armement (OCCAR) can also take on this role.

As announced in January, BLOMSTEIN is publishing a series of briefings introducing into European and German legal defence matters. In our last briefing, we shared some insight into the Bundestag’s ominous requirement (and its legality) to separately approve any defence procurement with a volume above EUR 25 Mio.

Today’s topic concerns export controls on the defence and arms industry. They are a critical component of national and international security efforts. They involve strict legal frameworks and regulatory mechanisms to ensure that the export of certain goods remains in line with the interests of the nations from which the goods originate. This overview provides an insight into the basic components of the legal framework established in Germany.

As announced in January, BLOMSTEIN is publishing a series of briefings introducing into European and German legal defence matters. In our last briefing, we discussed when and how to challenge unlawful single source contracts in the EU.

Today’s topic concerns the relationship between public procurement, constitutional law and the division of powers in the German Government:

As announced mid-January, BLOMSTEIN is publishing a series of briefings introducing into European and German legal defence matters. In our last briefing, we discussed the far-reaching impact CBAM will have on the defence industry in Europe.

"Faster, more effective and less bureaucratic" is the motto proclaimed by German Defence Minister Boris Pistorius when outlining his goals for defence procurement. One method – the so-called “direct award” – has always been an attractive option for contracting authorities interested in accelerating its procurement. Companies covet such awards because they avoid complicated and time-consuming procedures. On the other hand, those businesses that come away empty-handed often seek a way to challenge the legality of direct awards. This briefing will give an introduction to the strict conditions under which the law allows contracting authorities in Europe and Germany in particular to dispense with competitive tendering, and the particularities of the remedies available to competitors.

As announced mid-January, BLOMSTEIN is publishing a series of briefings introducing into European and German legal defence matters. In our last briefing, we discussed the relevance of merger control in the European consolidation of the defense industry.

The Carbon Border Adjustment Mechanism (CBAM) represents a pivotal shift in the European Union's approach to mitigating climate change by imposing a carbon price on imports of certain goods from outside the EU. It aims to prevent carbon leakage by ensuring that ambitious climate efforts within the EU do not lead to the relocation of carbon-intensive production to countries with less stringent emissions standards. The CBAM is designed to complement the EU's Emissions Trading System (ETS) by applying a similar carbon cost to imports, thus leveling the playing field for EU producers.

On December 12, 2023, an agreement was reached in the European Parliament on a draft of the EU Critical Raw Materials Act (CRMA), paving the way for its timely adoption. This raises the threat of further regulatory obligations for companies that produce with critical raw materials.