2026/0078(COD)

Official summary (Legislative Observatory, Decision by Parliament, 1st reading): The European Parliament adopted by 536 votes to 101, with 16 abstentions, a legislative resolution on the proposal for a regulation of the European Parliament and of the Council establishing the Programme for agile and rapid defence innovation (AGILE).

The European Parliament adopted its position at first reading by amending the Commission's proposal as follows:

Programme objectives

The proposed regulation establishes the programme for agile and rapid defence innovation for the period from 1 January 2027 to 31 December 2027.

In addition to the support provided through existing EU instruments, a new programme should be established to provide rapid, agile and targeted support to SMEs to develop innovative defence solutions and ensure their rapid delivery to Member States and associated third countries, with a focus on cost-efficiency in order to meet the challenges faced by the armed forces of Member States and associated third countries, in particular those arising from the war of aggression waged by Russia against Ukraine.

The programme will thereby foster the competitiveness of the European Defence Technological and Industrial Base (EDTIB) and contribute to strengthening the Union’s defence industrial readiness, while reducing strategic dependencies on non-associated third countries across the full spectrum of defence technologies.

The programme should:

- focus on supporting the rapid development of emerging and disruptive defence products and technologies ;

- address the most urgent capability development needs of Member States and associated third countries, taking into consideration the capability priorities identified in the context of the common foreign and security policy (CFSP) and the priority capability areas identified at Union level, as well as NATO standards and other relevant standards, with a particular focus on low-cost defence solutions.

- accelerate the innovation cycles of emerging and disruptive defence products , aligning their development with the urgent needs of Member States and associated third countries, while leveraging the innovation potential of the Union’s defence industry as a whole;

- foster the uptake of such products by Member States , associated third countries and prime contractors, supporting the scaling-up of SME-developed solutions across Europe and their integration into cross-border defence supply chains and strengthening security of supply for defence products within the Union.

Budget

The indicative financial envelope for the implementation of the programme, between 1 January 2027 and 31 December 2027, is EUR 115 million in current prices.

Eligible actions

Actions eligible for funding under the programme may take one or more of the following forms:

- support for the rapid development of emerging and disruptive defence products and, where appropriate, components necessary for their production;

- support for market uptake of emerging and disruptive defence products, including through support for the aggregation of demand and dedicated and iterative field testing and demonstrations with the involvement and feedback of end-users;

- support for the relocation of the establishment of an entity or of its executive management structure to the Union or to an associated third country for the effective implementation of actions, where an entity was previously established or its executive management structure was located in a non-associated third country;

- support for investment readiness, as well as activities to build and strengthen ecosystems, including support for cooperation between SMEs and European defence industrial prime contractors, system integrators and first-tier subcontractors.

The following actions will not be eligible for Union funding: (a) actions for the development of lethal autonomous weapons without the possibility for meaningful human control over selection and engagement decisions when carrying out strikes against humans; (b) actions related to cluster munitions.

Furthermore, actions supported by the programme should not contravene the security and defence interests of the Union and its Member States.

The programme will provide a fast-track, four-month time-to-grant , reinforcing AGILE's role as a nimble complement to the EU's existing defence industrial toolbox.

Sovereignty Seal

Regulation (EU) 2024/795 establishing the Strategic Technologies for Europe (STEP) platform provides for the awarding of a sovereignty seal to projects that meet the minimum quality requirements set out in the programmes listed in that regulation. The Commission should award a sovereignty seal to any project contributing to the achievement of one of the STEP objectives, provided that the project has been assessed and meets the minimum quality requirements provided for in a call for proposals under the regulation concerning the establishment of the AGILE programme.

Monitoring and reporting

The Commission should regularly inform the European Parliament and the Council about the implementation of the programme. By 1 July 2028, the Commission should draw up a report evaluating the impact and effectiveness of the actions supported by the programme. That report should include information on, in particular, the level of participation of SMEs; the geographical distribution of supported entities and the thematic distribution of supported activities.