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Kretschmer Pushes Defense-Industry Buildout in Saxony to Tap Rising Military Outlays

The premier urges a procurement East Germany component to address post‑reunification gaps.

Overview

  • Saxony’s minister president said regional firms and sites should benefit from the higher defense budget and is convening networking meetings between major contractors and local suppliers.
  • He called on the federal government to support eastern states and proposed an East Germany component in contract awards, citing the dismantling of defense structures after reunification.
  • The state is advising machinery makers, auto suppliers and process-engineering firms on entry points into defense procurement, with the chip sector and new corporate investments highlighted as pillars.
  • Opposition parties pushed back, with the AfD warning against a shift to a war economy and the Left urging public funds for civilian technologies such as batteries, hydrogen and medical tech.
  • Recent regional reporting shows SPD economics minister Dirk Panter made attracting arms investment a core task as West German locations capture most gains, while Dresden’s Elbe Flugzeugwerke still earn little from military work despite maintaining Bundeswehr NH90 helicopters since 2019.