Europe's push to jointly develop next-generation fighter jets has stalled after France and Germany scrapped their Future Combat Air System collaboration in June, undermining hopes—championed by Mario Draghi—that European nations could pool resources on defence rather than duplicating costly programmes. The collapse leaves France pressing ahead alone via Dassault Aviation, while Germany faces uncertainty over whether it will build its own jet or become a secondary partner in the UK-Italy-Japan-led Global Combat Air Programme (Tempest), raising the prospect of Europe fragmenting into multiple rival, and potentially unaffordable, fighter projects.

The Franco-German deal broke down over disputes between Dassault and Airbus Defence and Space regarding programme leadership, plus disagreements over aircraft design given France's carrier requirements. The rupture was compounded last week when engine makers Safran and MTU Aero Engines ended their joint development effort. Dassault chief executive Éric Trappier wants a demonstrator flying by 2031, but industry figures warn that successful fighter programmes typically need order books of around 600 aircraft—far beyond what any single European nation can sustain—making a three-way split between France, Germany and the UK-led GCAP economically unrealistic.