The European defence landscape is undergoing major changes, creating opportunities and implications for Korean businesses and investors. Below is a concise overview of the most noteworthy recent developments both from Poland and across the European Union – well worth your attention.

White Paper on the Future of European Defence – Readiness 2030

In March 2025, the European Union released its “White Paper on the Future of European Defence – Readiness 2030”.

• Strengthening EU defence capabilities
• Focus on interoperability and dual-use tech
• New compliance standards for businesses
• Opportunities for global defence companies

This document aims to strengthen defence capabilities and adapt European armies to emerging threats. It emphasizes interoperability, investment in dual-use technologies, and the creation of a joint rapid response infrastructure.

This opens tangible business opportunities for international companies. Significant opportunities are anticipated for companies operating in the defence, cybersecurity, and advanced technology sectors.

At the same time, “Readiness 2030” introduces new compliance requirements, which necessitate alignment between corporate operations and the European Union’s evolving defence, cybersecurity, and sustainability standards.

These guidelines provide a transparent framework for businesses seeking to engage with EU institutions and defence-related initiatives.

SAFE Regulation

In May 2025, Council Regulation (EU) 2025/1106 establishing the Security Action for Europe (SAFE) through the Reinforcement of the European Defence Industry Instrument, commonly referred to as the “SAFE Regulation”, was adopted.

• „Rediness 2030”

The SAFE Regulation, which is aimed at strengthening supply chain security,
is considered one of the key pillars of the “Readiness 2030” programme.

• Instrument for low-interest loans

SAFE Regulation enables low-interest loans for joint EU defence procurements, with up to EUR 150 billion in available funding.

• Restrictions for non-EU companies

SAFE Regulation limits eligibility for supported procurements, potentially restricting non-European defence companies' participation.

Importantly, to promote international cooperation in the field of innovative defence solutions, the SAFE Regulation provides an instrument for low-interest loans to European Union Member States for common procurements (i.e. a procurement procedure involving at least one EU Member State receiving SAFE financial assistance and one additional EU Member State, EEA-EFTA State, or Ukraine) of defence products and other products for defence purposes, with a maximum amount of EUR 150 billion.

The SAFE Regulation includes restrictions regarding eligible contractors for these procurements, which may limit the participation of non-European defence companies in procurement procedures eligible for support under the SAFE instrument.

33rd International Defence Industry Exhibition (MSPO 2025)

The 33rd International Defence Industry Exhibition (Międzynarodowy Salon Przemysłu Zbrojnego – MSPO 2025) in Kielce to be held on 2-5 September 2025 is expected to showcase cutting-edge technologies, including ESG initiatives and AI-driven solutions in defence.

It is known as Europe's third-largest defence and security trade show, and is attended by leading players in both the European and the global arms industry.

The MSPO is the place to establish important relations to enhance global defence, safety, and security, and the exhibition is known to be hugely important for procurement not only in the Central and Eastern Europe region, but also across Europe. Notably, MSPO events have often culminated in the signing of multi-million zloty contracts.

Korean Investment Expansion: $16 Billion Defence Partnership and Strategic Infrastructure Financing

Korea's Export-Import Bank (Kexim Bank) opened its Warsaw office in June 2025, positioning Poland as a strategic hub for Korean expansion and future Ukraine reconstruction efforts. With total planned defence expenditures potentially exceeding $16 billion, Poland has become Korea's largest defence partner globally. Beyond military contracts, Kexim Bank is exploring participation in Orlen's PLN 34 billion "New Chemistry" project in Płock and has expressed interest in financing the construction of Poland's nuclear power plant and the Central Transport Hub (Centralny Port Komunikacyjny – CPK) airport terminal. The Bank views Poland as a gateway for post-war Ukraine reconstruction, planning collaboration with Polish financial institutions once hostilities cease.

Polish–Korean Action Plan for the Implementation of the Strategic Partnership for 2025–2028

A long-term partnership, i.e. the Action Plan for the Implementation of the Strategic Partnership for 2025–2028, was entered into in March 2025 between the Republic of Poland and the Republic of Korea, covering shared goals in defence and technology. The Plan supports the development of new projects and fosters stronger ties between Polish and Korean defence-sector entities.

• $16B Polish–Korean defence partnership
• Korean tech transfer to Poland
• Expanding Korean investment in Poland

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