Industry could struggle with upturn in European defence spending, says official - May 18 2016

by Gareth Jennings, Stockholm - IHS Jane's Defence Industry

The defence industry could find it difficult to respond to an expected sharp increase in European military spending following years of relative stagnation, the president and chief executive officer of Saab told reporters on 17 May. Speaking in Stockholm ahead of the roll out of the Gripen E fighter later in the week, Hakan Bushke expressed his concerns that, with both frontrunners in the US presidential race insisting that all NATO member nations contribute 2% of their GDP to defence spending, industry will struggle to meet the demands for new equipment that would inevitably follow from those European members that spend less than this.[...]