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SpaceNews @SpaceNews_Inc · 2026-07-14

Defense spending lifts Europe’s space economy

European government space spending jumped 12% to 13.5 billion euros in 2025, according to a July 13 European Space Agency report, bucking a 3% global decline on the back of rising national defense budgets.

Quick take

European government space spending in Europe rose 12% to €13.5 billion in 2025, driven by defense programs like Germany’s €35 billion space security plan by 2030 and France’s €4.2 billion military space investment, while global space spending fell 3% to €119 billion. The U.S. still led with 58% of global budgets, followed by China at 15% and Europe at 11%. ESA warned Europe’s space industry faces structural disadvantages due to open markets and limited procurement preferences, despite rising defense budgets.

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