Article published in *Wirtschaftsdienst* (September 2026)

The war in Ukraine, competition from China, Trump’s tariffs and unused factory capacity are driving European car manufacturers into the expanding European defence sector. Several major manufacturers are already exploring or pursuing partnerships with the defence industry – as a pragmatic response to shrinking civilian markets and growing defence budgets. The article shows that the most likely outcome is selective integration into military supply chains and that industrial capacity in Europe is increasingly being viewed as a strategic security asset.
Authors: Vakhtang Partsvaniya (Caucasus University, Tbilisi) and Bodo Sturm (HTWK Leipzig)
Link to the article (open access)