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German state prepares Deutsche Bahn and Lufthansa for war

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War plans by the German Federal Ministry of Defence foresee a broader use of civilian logistics companies such as Deutsche Bahn or Lufthansa for transporting supplies to the front, training soldiers, and maintaining military equipment.

This information was published by the newspaper Handelsblatt. According to this, in the event of a war with Russia, the transport of NATO soldiers to the eastern front by Lufthansa aircraft is on the agenda.

It is stated that Lufthansa, which has been involved in the training of German Armed Forces (Bundeswehr) transport pilots since the 1960s, could also undertake the training of fighter jet pilots in the future.

Furthermore, the company Lufthansa Technik Defense will transform into a defence company by undertaking the maintenance and repair of the Bundeswehr’s fighter jets, helicopters, and maritime patrol aircraft in the future.

German Railways (Deutsche Bahn), on the other hand, has committed to providing flat wagons for the transport of tanks upon request. According to reports, German Railways is also in talks with the German Armed Forces regarding the conversion of ICE wagons into sleeping cars for the transport of the wounded.

The Bundeswehr always officially utilizes civilian logistics companies for the transport of military equipment, as well as personnel transport.

The Operational Command Command confirmed to the newspaper Handelsblatt that “outside of crisis areas,” this is “almost entirely” the case.

Even in crisis areas, private companies carry out a “significant portion” of German military transport. For this purpose, the Bundeswehr has signed numerous transport framework agreements.

For example, contracts have been signed with Deutsche Bahn (DB) and Schenker, a long-standing subsidiary of DB which has now been taken over by the Danish logistics company DSV, as well as with DHL, Hermes, and Kühne & Nagel.

Among the most important contractors in road transport is Transa, a subsidiary of DB Cargo in Offenbach.

According to the Operational Command Command, the Bundeswehr is 100% dependent on civilian companies for the sea and air transport of oversized and heavy materials. For air transport, it uses wide-body aircraft belonging to Ukraine’s Antonov Airlines, which depart from Halle/Leipzig airport.

For strategic sea transport, a cooperation agreement has been signed with Denmark’s DFDS Seaways. Under this agreement, DFDS Seaways must provide three RoRo (roll-on/roll-off) vessels within 15 to 30 days if required.

In land transport, the central role in the transport of military equipment belongs to the DB company. DB holds a 24.9% stake in BwFuhrparkService, a service provider for the Bundeswehr.

DB, which is currently transporting heavy military equipment for troops stationed in Lithuania, coordinates the planning and execution of rail transport 100% together with its subsidiary DB Cargo, according to information provided by a Bundeswehr officer.

Logistics experts argue that the German railway system is in very poor condition and that sufficient transport capacity cannot be provided in a war situation.

Considering this situation, a large part of the 500 billion euro special fund will be used for the renovation of the railway network. The CDU/CSU and SPD coalition agreement prioritizes the expansion of railways eastward, towards Poland and the Czech Republic.

DB Cargo committed to providing 343 flat wagons in the short term for the transport of tanks in 2023. Furthermore, the conversion of container wagons into flat wagons is also planned if needed.

According to reports, the Bundeswehr is also in talks with DB regarding the conversion of ICE wagons into sleeping cars for the transport of the wounded.

The Bundeswehr is making extensive plans to expand cooperation with Lufthansa. These plans are not limited to transport projects.

Observers note that Lufthansa played a role in the evacuation of thousands of people from Afghanistan in August 2021: While Bundeswehr transport aircraft took the evacuees from Kabul to Tashkent in Uzbekistan, Lufthansa undertook their transport from there to Germany. The German airline reportedly earned approximately 5 million euros for a total of 17 Lufthansa charter flights.

However, in a war situation, Lufthansa’s aircraft will not be needed solely for evacuation. It is also on the agenda for the airline, which is still officially civilian, to conduct flights to transport thousands, or even tens of thousands, of soldiers from Germany and possibly other NATO countries to a new eastern front should conflicts break out.

Whether there are enough pilots and other crew members available is also uncertain, and theoretically, they cannot be assigned to wartime duties.

According to some insider information obtained by Handelsblatt, there are some pilots with a background in the air force who might volunteer, but it remains uncertain whether this will be sufficient.

Beyond this, the issue of expanding military training provided by Lufthansa has also come up.

This is not new in principle. Since 1963, there has been cooperation between the German Armed Forces and the Lufthansa Civil Aviation School in Bremen, and military transport aircraft pilots are also trained at this school.

Lufthansa Aviation Training also trains German armed forces transport pilots in Phoenix, US, and in simulators near Munich airport.

The airline also began training German Armed Forces drone pilots in 2012; these pilots must first undergo normal pilot training to acquire general aviation knowledge.

Currently, it is being discussed whether Lufthansa will also enter the basic training of air force fighter jet pilots. The company’s CEO, Carsten Spohr, announced in March that “very interesting and positive discussions” had taken place on this matter in recent months.

Handelsblatt states that if this happens, fighter jet pilots will receive their basic training at Lufthansa; only “certification and military pilot training” will be carried out by the Air Force, and in this case, the Air Force’s burden will be significantly reduced.

Finally, Lufthansa is trying to get new orders from the Bundeswehr for its technical division. It has been undertaking the Bundeswehr’s flight services for over 60 years and specifically carries out maintenance and repair work.

The company management had decided to get more involved in military business in 2019. This plan gained further momentum with the federal government’s initial allocation of a 100 billion euro special fund.

To benefit from these and future military expenditures, Lufthansa Technik established a subsidiary named “Defense”. This entity is conducting talks with the German Armed Forces regarding potential orders for the maintenance and repair of the US F-35 fighter jet and the Boeing Chinook CH-47 transport helicopter. Both aircraft will be purchased by the German Armed Forces.

In addition, Lufthansa aims to win the maintenance and repair tender for the P-8 Poseidon maritime patrol aircraft to be delivered to the German Navy. It is stated that the aircraft is based on the civilian short and medium-range Boeing 737, for which Lufthansa Technik has extensive maintenance experience.

Furthermore, Boeing also transferred the maintenance and repair of the P-8 maritime patrol aircraft supplied by the New Zealand Armed Forces to the German consortium at the end of 2022.

Therefore, Lufthansa wants to enter the military business not only nationally but also internationally.

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Germany expands North Sea military ports and plans new naval base

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With the transformation of the port of Bremerhaven into a high-capacity military hub and the prospective establishment of a fifth German naval base in Emden, the federal government is accelerating the militarisation of the German coastline.

According to German Foreign Policy, the logistics infrastructure in Bremerhaven will be modernised and expanded to unload massive volumes of weapons and ammunition as quickly as possible and transport them onward to potential battlefields in Eastern Europe.

This is set out in a memorandum of understanding signed this week between the Ministry of Defence and municipal authorities in Bremen.

The federal government is providing up to 1.35 billion euros for this purpose, while the federal state of Bremen is contributing more than 212 million euros.

Bremen has the highest poverty risk and the highest child poverty rate of any federal state in the country.

The allocation of hundreds of millions of euros to expand military logistics rather than tackle poverty is also supported by senators from the Left Party (Die Linke) who sit in the state government.

Modernisation intensifies in Bremerhaven

Bremerhaven, Germany’s second-largest port in maritime freight handling behind Hamburg and ahead of Wilhelmshaven, is regarded as ideal for handling military cargo.

The port possesses significant capacity for offloading not only containers but also vehicles, alongside heavy-lift areas capable of handling even heavy military hardware such as main battle tanks. Moreover, because it can be accessed without passing through locks, access is substantially easier and faster.

Finally, it has good links to roads and particularly to railways, which is vital for the rapid transport of weapons and ammunition in the event of a crisis or war.

The port’s particular suitability as a military transshipment hub also stems from its history: it has been used by US forces since the end of the Second World War.

During the Cold War, it served as the central transshipment port in the Federal Republic of Germany and was expanded accordingly.

After 1990, it lost its significance for the US; however, with the escalation of the conflict in Ukraine, the US presence increased once more.

US activity escalated initially under exercises such as Defender Europe 2020 and subsequently from 2022 onwards in the context of the war in Ukraine.

As early as 2023, experts noted that Bremerhaven was operating as “an arms hub just like in the old days”.

Ports optimised for military logistics

The federal government is currently working to further increase the port’s military logistics capacity.

For instance, harbor basins will reportedly be dredged, and road and rail connections will be expanded.

Container facilities will be modernised and adapted to carry heavier loads.

This applies to both cranes and storage areas, with plans also in place to expand these storage areas into new zones.

A spokesperson for the port operating company Bremenports was quoted as saying: “The efficient transport of military hardware is no longer limited to tanks alone.”

Today, weapons and ammunition are also delivered in containers, which would need to be rapidly unloaded and forwarded in the event of war.

To ensure this, plans are also being made to build a new railway swing bridge at the Kaiserhafen. According to reports, the existing bridge is described as a “bottleneck” that slows down the movement of military equipment unnecessarily.

In addition, the heavy focus on military logistics demands costly security measures.

For example, not only will new fencing and privacy screens be erected, but drone defence systems will also be installed and cybersecurity measures implemented.

Left Party senators back armaments

The federal government is allocating approximately 1.35 billion euros through 2031 to optimise military logistics in Bremerhaven and, in conjunction with this, adapt Bremen Airport more effectively to the needs of the Bundeswehr.

According to the Mayor of Bremen, Andreas Bovenschulte, this represents the largest grant the German government has ever provided for a project in the federal state of Bremen.

The state of Bremen is contributing an additional 212 million euros to the “Bremerhaven 2031 Deployment Hub” project.

While large sums are being funnelled from Bremen’s state budget into war preparations in this manner, approximately 25.9% of the state’s population was classified as at risk of poverty in 2024, with 28.6% of all children living in poverty.

This makes Bremen the federal state with the highest poverty risk and the highest rate of child poverty.

Approval for funding military logistics in Bremerhaven with hundreds of millions of euros from the state budget also came from two Bremen senators belonging to the Left Party.

The Left Party’s Senator for Economic Affairs and Ports, Kristina Vogt, praised the “pragmatism” of “improving our infrastructure, which is already used for civilian purposes, for military ends” rather than constructing new facilities.

North Sea joins Baltic Sea militarisation

With the expansion of the Bremerhaven military hub, the militarisation of Germany’s coasts is progressing.

Until now, the focal point of Germany’s naval infrastructure has been the Baltic Sea coast. This was partly because during the Cold War, the naval activities of the Federal Republic of Germany were directed against the Soviet Union and Warsaw Pact states.

Alongside several training facilities, the German Navy primarily operates three major naval bases here, situated in Eckernfoerde, Kiel, and Rostock-Warnemuende, as well as the Naval Command based in Rostock.

In the North Sea, these are complemented by the naval base in Wilhelmshaven and the Naval Air Command at Nordholz near Cuxhaven.

The Naval Air Command is the third major unit of the German Navy, alongside Flotilla 1 based in Kiel and Flotilla 2 based in Wilhelmshaven.

At present, approximately 16,000 soldiers and 1,800 civilian staff from the Bundeswehr are stationed at the Navy’s main bases and various smaller installations.

As in other branches of the armed forces, the German Navy aims to expand its personnel numbers.

Germany’s fifth naval base to be built

In addition to the four existing naval bases and the Bremerhaven military hub, the federal government plans shortly to announce the construction of a fifth naval base, also located on the North Sea.

According to reports, Emden has been selected as the site for the base. Defence Minister Boris Pistorius and Lower Saxony’s State Minister Olaf Lies are scheduled to outline the next steps regarding a potential new naval base there on Monday.

Emden previously hosted a naval base during the Cold War, but the facility was closed in 1997.

According to reports, one argument in Emden’s favour is that it holds the largest unused area among Lower Saxony’s North Sea ports.

Discussions have been ongoing for some time over how to utilise this disused land reasonably, although these debates previously centred on civilian use.

According to the German Navy’s plans, the new naval base will accommodate seven frigates, ten minesweepers, and ten tugs, alongside a four-digit number of Bundeswehr soldiers and civilian personnel.

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European nations unite against US pressure over strategic oil stocks

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Five European countries have agreed to respond with “one voice” to mounting pressure from the US government to release their oil reserves.

Three European officials told Politico that France, Germany, Britain, Italy, Ireland, and the European Commission participated in talks to determine how to respond to pressure from Washington to draw down their oil reserves or face a ban on US diesel exports.

Two of these sources stated that all of these countries were placed under covert pressure by the US to run down their oil reserves or face a ban on diesel exports from the US.

According to the sources, these countries, together with the EU executive, agreed on three points: responding to the pressure with a “coordinated voice”, ensuring that “any decision on releasing stocks is brought to the IEA [International Energy Agency] level”, and seeking to “de-escalate tension in talks with the US”.

The Paris-based IEA coordinates energy policy among wealthy countries and oversaw the release of oil reserves earlier this year following the closure of the Strait of Hormuz.

One of the sources said the objective was to “de-escalate”:

“Being somewhat firm yet positive in communication… When you are facing a hungry lion, you do not necessarily have to play dirty with it.”

The source added that a wider group of countries, some of which have faced pressure from the Trump administration, would discuss how to react at a meeting scheduled for Friday.

Politico previously reported that US Energy Secretary Chris Wright had demanded the release of oil reserves into the market as an alternative to an export ban on which the EU heavily relies.

As a consequence of the wars in Ukraine and Iran, diesel prices in the US are soaring, placing significant pressure on US President Donald Trump to lower prices ahead of critical midterm elections.

The president is not ruling out an export ban, despite fierce opposition from the US oil industry.

Regarding the export ban, Trump said at an Oval Office event: “I am considering it. I speak to [Energy Secretary] Chris [Wright] and [Interior Secretary] Doug [Burgum] about this often. They think it would help diesel prices, but it could also raise the prices of other products.”

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EU wrestles with domestic content rules for ‘Made in Europe’ push

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The EU wants to leverage its immense public spending power to bolster European industry through a “Made in Europe” initiative.

Deep divisions remain, however, over what should genuinely count as European-made.

According to a report by Politico, the European Parliament and member state governments are trying to establish their positions on the Industrial Accelerator Act (IAA), which forms part of Brussels’ effort to turn the “Made in Europe” slogan into an industrial strategy.

The initiative aims to use tenders and subsidies to create a guaranteed market for products of European origin.

Yet doing so requires answering politically contentious questions, such as how “European” a product must be to qualify, and how much more governments and consumers should be prepared to pay to buy domestic goods.

Disagreements are playing out not only between Parliament and the Council, but also among national governments and even between political allies from different countries.

Unveiled by the European Commission in March, the IAA seeks to channel public expenditure on green technology, energy-intensive industries, and motor vehicles towards European firms, helping them compete with dominant Chinese exporters.

Six months on, it is becoming increasingly clear how difficult it is to turn that objective into workable legislation.

Opposing sides broadly agree on the need to strengthen Europe’s industrial base, accelerate permitting procedures, and reduce strategic dependencies.

However, sharp divisions persist over how extensively the EU should support European manufacturing and how much flexibility national governments should retain.

Politico has identified five issues that will dominate negotiations through 2027.

The first issue is the debate over what qualifies as “Made in Europe”.

Defining EU origin is the most politically sensitive topic in the talks. With public procurement accounting for 15% of the bloc’s GDP—equivalent to roughly 3 trillion euros a year—the sums at stake are enormous.

If the threshold defining how European a product must be is drawn too narrowly, Brussels risks alienating close trading partners and disrupting supply chains.

Conversely, if drawn too broadly, the “Made in Europe” preference risks becoming meaningless.

Parliament is pressing for stricter anti-circumvention rules and demanding that at least 50% of a product’s value be created within the EU.

This condition would also make it harder for goods or components from third countries to be treated as equivalent to EU-origin items.

Lawmakers also aim to impose tighter conditions, including reciprocity, economic security measures, climate commitments, labour standards, and human rights safeguards.

The Council is more open to treating content from countries covered by the WTO Agreement on Government Procurement or relevant free trade agreements as equivalent to EU-origin content under specified conditions, including certain reciprocity principles.

Yet EU member states are still debating their positions and putting forward various conflicting proposals.

Ireland, which holds the Council presidency, plans to submit a fresh compromise proposal featuring the “Made in Europe” designation by mid-October.

Another issue is Foreign Direct Investment (FDI) screening.

Parliament wants a more comprehensive and stringent system to screen foreign investment in strategic sectors.

Underpinning this demand is the concern that, despite the EU spending billions to develop strategic industries, subsidized or otherwise state-backed foreign investors could acquire the very companies and assets the EU helped build.

Lawmakers want to lower the review threshold from the proposed 100 million euro investment figure to 50 million euros, bring affiliates of foreign investors under the rules, and lower the control threshold that triggers mandatory notification.

They also want to give the Commission a stronger role, granting it the power to block investments in critical raw materials when EU funds are involved.

The Council’s position is narrower: it broadly retains the 100 million euro FDI threshold and the 30% control threshold set out in the Commission’s original proposal, while granting national authorities greater flexibility in managing the approval process.

The two institutions are at odds not only over the scope of screening, but also over the institutional balance of power between Brussels and national capitals.

The third issue centres on the scope of tenders and subsidies.

Both sides want public tenders and state support to drive demand for European-made, low-carbon goods.

However, opinions diverge on how broadly the rules should apply.

This is where political goals collide directly with public purse strings. Requiring governments to purchase European-made goods could spur demand for domestic manufacturers, but it could also force taxpayers to pay more when cheaper imported alternatives are available.

Parliament wants various requirements—such as green, social, or “Made in EU” criteria—to cover up to 90% of state aid or subsidy programmes, compared with 45% in the Council text.

It also proposes tighter social and labour conditions, relocation curbs, and stricter verification and enforcement mechanisms.

The Council favours broader exemptions where suitable products are unavailable, excessively costly, or technically unviable.

This posture reflects governmental concerns over higher public spending or project delays linked to reliance on imported components.

The fourth issue is the divergence over sectoral targets.

Parliament generally seeks higher and more granular European-origin content requirements for batteries, solar panels, wind turbines, electrolysers, nuclear technologies, and electric vehicles.

Electric cars illustrate how complex the “Made in Europe” concept can become in practice.

A vehicle assembled within the EU may contain a battery and raw materials sourced through supply chains spanning the globe.

Parliament plans to raise the required EU-origin share for non-battery vehicle components from the 70% proposed by the Commission to 75%.

Requirements governing battery materials, binders, and strategic raw materials would also be introduced.

The Council’s stance, by contrast, is less prescriptive and allows for a more phased implementation.

The dispute is not over whether strategic sectors should receive support, but whether the IAA should impose binding content targets that could push up costs for manufacturers and consumers.

The fifth and final debate concerns the sectors covered by the Industrial Accelerator Act.

The argument centres on whether the IAA should remain a targeted response to strategic dependencies or become a broader vehicle for EU industrial policy.

Parliament wants to expand the legislation to cover areas such as maritime manufacturing, materials recovery, and certain plastic products used in construction.

It also wants sectors such as fertilizers, rolling stock, robotics, and aerospace considered in future reviews.

The Council text focuses more tightly on sectors already identified, including energy-intensive industries, automotive, net-zero technologies, and critical raw materials.

The debate reflects wider friction over how far the EU should extend “Made in Europe” preferences.

When public procurement and subsidies are deployed in certain strategic sectors to shield domestic manufacturing, other industries gain a strong incentive to argue that they too should benefit.

According to a separate report by Politico, Brussels is prepared to grant candidate countries access to its single market, provided they agree to align with the bloc against “hostile states” and industrial competitors.

Under the draft plan, candidate countries would receive unprecedented “gradual integration” into the single market while their accession bids are assessed, including frictionless trade and access to research programmes.

An assessment of “pre-enlargement” benefits to be offered to candidate nations states: “The single market is the primary driver of economic convergence.”

The draft states:

“Earlier integration will create opportunities for businesses across the Union, strengthen European value chains, and reduce strategic dependencies. The Commission will identify sectors where verified regulatory alignment and enforcement capacity allow for deeper participation in research, innovation, and industrial cooperation, as well as broader market access. Priority should be given to opportunities that advance accession preparations and address shared economic and strategic needs.”

Overseen by Alexandre Adam, top adviser to Ursula von der Leyen and former aide to French President Emmanuel Macron, the review would fundamentally transform the EU’s approach to neighbouring countries.

At present, almost all the economic advantages of closer cooperation remain reserved for member states.

No new country has joined the EU since Croatia’s accession in 2013.

As part of Adam’s package of measures, Ukraine, Moldova, Albania, and Montenegro are set to receive “roadmaps” designed to accelerate their accession process in the coming years.

For other nations, including North Macedonia, Kosovo, Bosnia and Herzegovina, Serbia, and Türkiye, the process continues to drag on amid mounting fears that they could drift away from the EU or draw closer to Russia or China.

Under the Commission’s blueprint, economic benefits extended to candidate countries would depend on their backing of EU foreign policy goals.

Single market access would hinge on candidate states not sharing key technologies with hostile governments and commercial rivals.

The review document notes:

“As industrial and market integration deepens, participation in sensitive sectors must go hand in hand with cooperation on investment screening, export controls, sanctions enforcement, and the protection of sensitive technologies. Access assessments must consider strategic alignment, critical dependencies, and the capacity to manage risks to infrastructure and supply chains. Where these conditions are not met, the scope of participation should be recalibrated under the relevant regulatory framework.”

Areas being considered for closer cooperation include semiconductors, quantum technologies, biotechnology, artificial intelligence, and space.

According to the review, full EU membership must remain the ultimate goal for candidate countries.

“Yet accession takes time: candidate countries must complete a rigorous, merit-based process and deliver comprehensive, enduring reforms,” the report notes. “This period must be fully exploited strategically, both to prepare the Union for a wider membership and to deepen gradual integration in areas of mutual interest.”

The benefits gained, however, will be contingent on countries fulfilling their obligations:

“Where these commitments are not honoured, integration must be reversible. The accession process should be suspended or rolled back where deemed necessary.”

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