Many suppliers (especially) from the automotive industry want to support the German and European-wide armament programme. This article highlights key points to consider when entering the defence industry.
The armament of the EU and NATO states is a done deal. The immense need for capital is likely to be covered by the almost unlimited state financial resources – as symbolised by Friedrich Merz’s statement on 4 March 2025: “Whatever it takes” – as well as enormous interest from private donors. However, this financial strength is offset by the limited productive capacities of the local defence industry. Despite massive expansion, the OEMs have reached the limits of their capabilities – which is why the existing industrial potential (especially from automotive suppliers) must be mobilised. The following section highlights key points that should be considered when entering the defence industry as a supplier.
1. Registration in the supplier portal
Most (main) contractors in the defence industry, especially OEMs, operate supplier portals in order to bundle the business process with their suppliers. It is strongly recommended to register early in order to create an important prerequisite for being selected as a supplier.
2. EN 9100 certification
In the area of quality management, certification in accordance with EN 9100 is generally required in the aerospace and defence industry. This standard is based on the specifications of EN/ISO 9001 and supplements them with specific requirements that are mandatory for companies in these industries. As in the automotive industry, industry-specific certification is essential.
3. Procurement process
A special feature is the procurement process in accordance with public procurement law and/or domestic law . The main customer of defence projects is the Federal Office of Bundeswehr Equipment, Information Technology and In-Service Support (BAAINBw) and its direct contractual partners are the (sub)contractors. Although these regulations only apply directly to contractors, they are also indirectly relevant for the supplier. It is therefore important to communicate with the contracting authorities at an early stage in order to be able to influence the object of procurement.
4. Contract terms
Contractors often attempt to pass on the contractual obligations specified by the client (usually the BAAINBw) to the supplier (flow-down). It is typical to include extensive Bundeswehr standard terms and conditions as well as requirements from NATO’s Allied Quality Assurance Publications (AQAP). Due to far-reaching (quality) requirements and very long contract terms, a meticulous review is essential before the contract is concluded.
Conclusion
If you want to become a supplier in the defence sector, we recommend the following next steps:
- Registration in the supplier portals,
- Certification in accordance with EN 9100,
- Observe the special features of the procurement process,
- scrutinise all contractual terms and conditions.