The government published on Tuesday, June 2, the list of contracts signed by May 30 under the “Security Action for Europe” (SAFE) military procurement program, for which Romania has been allocated EUR 16.68 billion. 

According to the funding procedure, EU member states part of the SAFE program were able to sign individual procurement contracts until May 30. In a later stage, procurements will be carried out in cooperation with another member state/EEA-EFTA state or with Ukraine or the Republic of Moldova.

Aside from defense contracts, the program also funds dual-use infrastructure projects. Last week, the executive signed three SAFE-funded contracts, two of which were for segments of the A8 highway in eastern Romania. In total, roughly EUR 4.2 billion will go toward infrastructure projects, primarily the A7 and A8 highways. 

Digital infrastructure was included in the dual-use acquisitions under the EU-sponsored program. Digi Romania (BVB: DIGI), one of the largest telecommunications providers in the country, received a contract worth EUR 196 million for the development of an integrated LLM-type platform for cybersecurity.

Mobile data centers and cybersecurity operations centers will be acquired, worth nearly EUR 110 million, the contract being concluded with Logic Computer S.R.L.

From the remaining EUR 12.48 billion allocated to military equipment, around EUR 6 billion will go to German defense giant Rheinmetall. However, the company agreed to construct many of its products in Romania, and the orders are diverse. Rheinmetall will provide Romania with 298 tracked infantry fighting vehicles, 35 mm AHEAD ammunition worth EUR 449.75 million, and anti-drone air defense systems, among others.

Romania will also acquire four ships, including two offshore patrol vessels and two diver intervention vessels in a contract concluded with NVL B.V. & Co. KG for a total value of EUR 920 million. Ship production, superstructure construction, and armament (including assembly, installation, and equipment integration) will be carried out at one of the shipyards in Romania.

In addition, the government greenlit the purchase of 34 military drone systems and 15 Scorpion kits from Quantum Systems for EUR 30.7 million. Final assembly of the drone systems will be carried out in Romania.

Contracts were also signed for: 

• 231 MISTRAL MANPAD systems including 934 missiles — EUR 625.6 million.
• 6 H175M helicopters from Airbus Helicopters — EUR 132 million;
• 7 medium-heavy multi-role H160 and 5 light-medium H145 dual-use helicopters from Airbus Helicopters France and Germany respectively, with maintenance and repairs to be carried out in Romania — EUR 280.9 million;
• 2 Spartan multi-role tactical aircraft for mass casualty management, contracted with Leonardo S.p.a. — EUR 245 million.
• A flight simulator for Airbus H135 and Sikorsky S70M helicopters, contracted with Romanian firm Simultec S.R.L. — EUR 43.2 million.
• Mass casualty management equipment including 2 mobile mass fatality management units, 110 personnel and victim transport vehicles, 5 highly contagious patient transport vehicles, and an emergency intervention train, contracted with Deltamed SRL with partial production in Romania — EUR 133.8 million;
• 11 naval vessels for troop transport, maritime patrol, intervention, and victim rescue, contracted with the Mangalia Naval Shipyard — EUR 24.3 million;
• Communication and coordination platforms with critical traffic prioritization capability, contracted with a consortium of Romanian companies including Dendrio Solutions, Dendrio Innovations, Arctic Stream, and Tema Energy — EUR 13 million;
• 1 TEMPEST mobile laboratory, contracted with Bluespace Technology S.A. — EUR 1.5 million

Other acquisitions have not yet been completed, as they include cooperation with another state or international agency. Several others were not signed because the government aims to analyze them further regarding costs. 

“Contrary to information circulated in the public space, Romania is not losing funds nor access to the financial allocation approved under the SAFE instrument as a result of the evolution of individual procurements. The implementation of the national SAFE plan continues according to the assumed stages, and the allocation of EUR 16.68 billion remains fully available,” the government noted in the press release.

radu@romania-insider.com

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