On Friday 21 March 2025, the President of the European Council, António Costa and the President of the European Commission, Ursula von der Leyen, together with High Representative Kaja Kallas, had a video conference meeting with the Prime Minister of Iceland Kristrún Frostadóttir, the Prime Minister of Norway Jonas Gahr Støre, the President of Türkiy Recep Tayyip Erdoğan, and the Prime Minister of the United Kingdom Keir Starmer. President Costa and President von der Leyen debriefed like-minded non-EU countries’ Leaders on the European Council meeting which took place on 20 March. This was the second iteration of this meeting format aimed at informing the Leaders on the outcome of the EU Heads of States and Governments’ discussions on the support to Ukraine and on European defense. In this critical period, cooperation with global partners is crucial. President Costa and President von der Leyen conveyed the European Council’s overwhelming support to putting Ukraine in a position of strength in view of achieving a just and sustainable peace. At the European Council, EU Leaders welcomed that Ukraine is ready for a full ceasefire. They underlined that peace should not reward the aggressor and pressure on Russia should be stepped up. EU Leaders commended the initiative by France and the UK to form a coalition of the willing aimed at defining the support to the Ukrainian army and the security guarantees that European countries can provide. President Costa and President von der Leyen conveyed the European Council’s clear understanding of the exceptional times that Europe is going through. They shared the European Council’s agreement that Europe needs to step up its investment in security and defence. In this context, they referred to “Readiness 2030” - a roadmap aiming at ensuring that the EU has a defence industrial base and defence capabilities to act as a credible deterrence. They presented the proposed financing mechanisms for the required investments in defence and the opportunities for the partner countries arising therefrom. - The first one – National Escape clause – will free up to EUR 650 bn of fiscal space in the national budgets of the Member States. It will have no conditions attached in terms of origin of the defence equipment. Military equipment from partner countries can therefore directly benefit from it.
- The second one – “SAFE” of up to EUR 150bn in loans. Norway and Iceland can already directly participate, since they are members of the EU’s single market. Other countries, such as the UK, Canada or Türkiye, can immediately provide up to 35% of a defence product. To increase the industrial participation beyond 35%, a Security & Defence Partnership and a subsequent association agreement are necessary.
Participants agreed to continue to coordinate efforts aimed at strengthening Ukraine and increasing Europe’s security. Governments of Australia, Canada, New Zealand and Japan will be subsequently informed about the outcomes of the European Council. | 
