<p><strong>“European companies, join forces to produce for the defence sector.” This is the call from Guus Basstein of Geurtsen Defence, part of the Geurtsen Group, which comprises 15 engineering companies in the eastern Netherlands. “Not only because overall demand for defence products is increasing, but also because cooperation strengthens Europe’s position in the production chain.”</strong></p><p>“Global defence spending amounts to approximately USD 3 trillion a year. And Dutch defence spending will continue to rise, towards 3.5% of gross domestic product by 2035. The major challenge is to ensure that this money is spent in the Netherlands and Europe,” says Guus Basstein of the Geurtsen Group. “Small, individual machine manufacturers lack the scale to operate independently. This requires cooperation between companies, enabling them to act as full-fledged partners capable of supplying complete products or technologies.”</p><h2>Putting defence activities on the map</h2><p>The Geurtsen Group consists of 15 engineering companies in the eastern Netherlands, employing a total of 500 people, and originated from Machinefabriek Geurtsen in Deventer, Overijssel. In 2025, the group established an overarching sales organisation for the defence sector, called Geurtsen Defence, to consolidate and raise the profile of its defence activities. “Six of our 15 companies are active in the defence sector. Among other things, they manufacture ammunition systems for tracked armoured vehicles, radar platforms, cooling systems for ships, machine parts and vehicle components.”</p><h2>Dual-use applications and back-up capacity for scaling up</h2><p>Members of the group also produce dual-use applications. “There is demand for the conical mixer produced by group company SPS Group for drying ammunition, while group company Metal Morph manufactures metal-spinning machines that can also be used to produce drone and ammunition components. The group’s other companies provide back-up or additional capacity. If we need to scale up, we can draw on their production facilities, employees and networks,” says Basstein.</p><h2>Cooperation is essential</h2><p>Just as Geurtsen collaborates within the group and can therefore present a combined track record of products for tanks, ships and aircraft, Basstein also sees opportunities to combine the specialist expertise of different European regions. “Cooperation between companies is essential if we are to operate as a full-fledged player in the defence market and gain recognition as such. The more complete the products we manufacture together, the higher our position in the defence production chain. This can offer advantages in terms of product uniqueness, access to raw materials and intellectual property.”</p><blockquote><p>Cooperation between companies is essential to operate as a supplier to the defence sector.</p></blockquote><h2>Major military orders for Europe</h2><p>Following the purchase made by the Netherlands in April 2026 — when the government bought a fifth Patriot air-defence system from the US company Raytheon — Basstein sees opportunities for the Netherlands and, consequently, for regions that cooperate with Dutch companies. “When the Dutch government places major military orders abroad, the Ministry of Economic Affairs and Climate Policy requires the foreign supplier to purchase products from Dutch industry representing part of the order value, under what is known as an offset obligation. The purchase is worth almost EUR 1 billion. This means we can expect a significant number of orders from the United States. If we address these opportunities from the Netherlands together with other European regions, we can achieve great things.”</p>

Defence billions call for strong European cooperation