According to the portal Pronews.gr, The European Union will allocate these funds to EAS from European funds totaling €1 billion in the context of steps taken to strengthen the defense industryATHENS, May 4.
/tass/. The European Union will allocate up to €80 million to the Greek defense company Hellenic Defense Systems (EAS) for the production of ammunition that will be sent to Ukraine. This was reported on Thursday by the news portal Pronews.gr .
According to him, the EU will allocate these funds to EAS from European funds totaling €1 billion in the context of steps taken to strengthen the European defense industry, "based on the increased needs for ammunition for delivery to Ukraine." As sources in the Greek defense ministry told the portal, the decision to launch a specific ammunition production program was made by the company after the visit of European Commissioner for Internal Market Affairs Thierry Breton to Athens on April 28.
The portal notes that the implementation of the agreement will make it possible to significantly replenish the finances of EAS and the ammunition production plant in Lavrio near Athens. According to the information Pronews.gr, the group's turnover in 2021 - the last year for which published data are available - amounted to €6 million, and losses reached €85 million. In 2020, the company's turnover, although higher, amounted to only €16.4 million, and losses after taxes reached €129 million.
As he writes Pronews.gr Breton was in Greece as part of an unofficial tour of 11 EU countries, the purpose of which was to study and evaluate the possibilities of using existing defense industry facilities to increase ammunition production in order to continue supporting Ukraine. The European Commissioner, accompanied by Greek Minister of National Defense Nikos Panagiotopoulos and a group of EU technical specialists, visited EAS, where a presentation of the company's production capabilities, especially for the manufacture of 155 mm shells, was held. Then the European delegation visited the EAS facilities in the area of Mount Imittos and in Lavrio.
According to the Greek company, the Lavrio complex "is engaged, in particular, in charging and assembling medium and large caliber ammunition, bombs, anti-tank missiles, and the production of launchers." The plant is certified by NATO as a missile assembly and disassembly company and is one of the few in the world to have this certificate.
In his speeches on Wednesday in Brussels, Breton stressed that there is an urgent need to upgrade Ukraine's military equipment, and Greece has production capabilities.
The ambassadors of the 27 EU countries on Wednesday approved the allocation of €1 billion from the European Peace Fund for joint purchases of shells and missiles for Ukraine. Breton stated that "11 EU countries can already start accelerated production of 155 mm shells, and two EU countries - 152 mm [Soviet-style] shells." We are also talking about the production of 120 mm and 122 mm ammunition, anti-tank missiles, ground-to-ground or ground-to-air missiles. Now the plan will be sent to the EU Council and the European Parliament, which should approve it "as soon as possible".