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Beyond the Regulatory Polity?The European Integration of Core State Powers$
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Philipp Genschel and Markus Jachtenfuchs

Print publication date: 2013

Print ISBN-13: 9780199662821

Published to Oxford Scholarship Online: January 2014

DOI: 10.1093/acprof:oso/9780199662821.001.0001

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Integrating the Acquisition of Leviathan’s Swords? The Emerging Regulation of Defence Procurement within the EU

Integrating the Acquisition of Leviathan’s Swords? The Emerging Regulation of Defence Procurement within the EU

Chapter:
(p.26) (p.27) 2 Integrating the Acquisition of Leviathan’s Swords? The Emerging Regulation of Defence Procurement within the EU
Source:
Beyond the Regulatory Polity?
Author(s):

Moritz Weiss

Publisher:
Oxford University Press
DOI:10.1093/acprof:oso/9780199662821.003.0002

This chapter explores the EU’s emerging regulation of member states’ exercise of how to procure arms. While the Commission initiated the political process to constrain governments’ notorious application of the exemption rule (Art. 346), the defence procurement directive and, therefore, the incremental shift towards a single market were substantially supported by ECJ case law. The chapter argues that, on the demand side, transformations in defence economics and technology have led (competitive) defence firms to promote gradual market integration. In fact, (some) governments followed this trend in the hope of reducing policy externalities and realizing economies of scale, as they were facing shrinking procurement budgets. On the supply side, it was the Commission, based on ECJ case law, who translated this increasing demand into political action. In short, by deliberately integrating the acquisition of Leviathan’s swords, the EU increasingly regulates the exercise of defence procurement as a core state power.

Keywords:   defence economics, public procurement, regulation, Art. 346 (ex 296), Commission, member states, defence firms, ECJ case law

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