Advancing Europe’s space ambitions: from 2025 to 2026 and beyond

by Charles Galland

In February 2025, three years after Russia’s invasion of Ukraine, and in response to Commissioner Andrius Kubilius’ call to assert Europe’s independence in security and defence, the critical role of the European space industry in shaping the future of space and defence integration in Europe was laid out.

Alignment of visions? Space, security and defence have been brought together under a single policy window within the European Competitiveness Fund, issued by the European Commission in July 2025. The proposed 131B€ budget covering the three sectors appears, at first glance, to respond to the space industry’s June 2025 call for an envelope of 40 to 60B€ for the EU Space Programme under the next Multi-Annual Financial Framework. In 2026, work will continue to ensure a firm commitment to stable funding (covering acquisitions, operations, and upgrades) and to industrial considerations, as outlined in the April 2025 Position Paper “Why Europe needs to devise an Industrial Strategy for Space”.

The EU Space Act is another file that will carry over into 2026. Three months after the European Commission published its proposal at the end of June 2025, Eurospace got into full gear with the publication of its Position Paper. Widely promoted, especially in the European Parliament, what first and foremost matters for the European space industry is that this regulation increases safety and security in space in a harmonised way at European level, while acting as a catalyst for innovation and new markets.

And to ensure that the future EU Space Act can be implemented quickly and with a minimal level of cumbersomeness, it is key not to reinvent the wheel and to use - and improve - what already exists; for instance, the ECSS standards have recently undergone major improvements. These much-welcomed changes, aimed at making the standards easier to use and updating them to reflect modern industry practices, call for continued support from all actors involved in the process (as emphasised by Eurospace in June 2025).

How can 2025 be referenced without mentioning ESA’s Council at Ministerial Level 2025? The largest financial commitment in ESA’s history (€22.3 B) reflects Eurospace’s July 2025 letter to ESA Member States, calling on them to safeguard the industry’s ability to act, thrive, and secure a sustainable future through substantial commitments to ESA. Such a budget increase will inevitably raise questions about the industry’s ability to respond to an expanded portfolio of programmes and ensure timely delivery; yet, addressing these questions primarily depends on European institutional actors placing their trust in the European space industry to deliver European systems and services.

Recent U.S. policy shifts underscore the urgency for Europe to strengthen its own space capabilities. With the Executive Order “Ensuring American Space Superiority”, the Trump Administration notably turns to the idea of a fee-based Space Situational Awareness (SSA) system to help foster a market for U.S. commercial SSA service providers. This paradigm shift in the approach to space safety highlights the urgent need to strengthen European SSA capabilities (all the more critical given Europe’s current reliance on U.S. data) as will be underlined in a forthcoming Eurospace Position Paper in Q1 2026.

Charles Galland is Policy Director at Eurospace, representing the European space industry at the heart of EU and ESA decision-making. He specialises in shaping space policy and fostering dialogue between institutions and industry.