Polish Solidarity trade unionists are calling for full disclosure of the companies selected for the SAFE program, citing a lack of information despite being asked for support.
Union Concerns Over SAFE Program Information
The National Section of the Arms Industry of the NSZZ “Solidarity” trade union is appealing for the official list of companies qualified for the SAFE program to be made public. Union representatives state they are being asked to support initiatives without knowing the key assumptions behind them.
Paweł Stanik, chairman of the National Section of the Arms Industry of NSZZ “Solidarity”, stated that the union had previously refrained from commenting on the SAFE program due to insufficient information. On March 12th, a letter was sent to Deputy Prime Minister and Minister of National Defence Władysław Kosiniak-Kamysz regarding this issue.
Doubts Regarding Polska Amunicja’s Role
The organization is particularly concerned about the role of Polska Amunicja within the program. According to reports from the Onet portal, the company is poised to become one of two key suppliers of 155mm ammunition under SAFE, potentially securing a contract worth between 4 to 11 billion złoty for 300,000 rounds – nearly double the volume ordered by the state-owned Polish Armaments Group.
Stanik noted that Polska Amunicja currently lacks its own factory, technology, or even a license, raising concerns that it may become an “assembler” of components sourced from the Czech Republic, France, and Germany. He described this as unacceptable given the multi-billion złoty contract.
Financial Performance and Comparison with Mesko and PGZ
Polska Amunicja’s financial report for 2024 shows a net loss exceeding 5.4 million złoty, compared to a loss of 2 million złoty the previous year. The company’s average employment in 2024 was seven people, and its board includes former MP Paweł Poncyljusz.
In comparison, Mesko received over 1 billion złoty in investment to increase its 155mm ammunition production capacity to over 100,000 units annually, funded in part by the Fund for Investment Capital (FIK) under the Ministry of State Assets. Agreements were signed between MAP and the Polish Armaments Group in July of last year.
Stanik emphasized that Mesko possesses the appropriate technology, years of experience, and the ability to base production entirely on Polish components, making the selection of a company without technological or production infrastructure concerning regarding the process’s transparency.
SAFE Program Details and Political Decisions
The SAFE (Security Action for Europe) program is a new EU financial instrument. Poland could potentially secure around 43.7 billion euro in loans through it to support investments in the defense industry. The Polish Ministry of National Defence included 139 projects in its application, including Piorun missile launchers and Borsuk vehicles. The government states that 80 percent of the funds will go to entities operating in Poland.
Stanik stressed the crucial issue of how the funds will be allocated, questioning whether they will be invested in increasing domestic production capacity or simply fulfilling specific orders. He warned that spending vast funds without expanding industrial potential could lead to Polish companies facing hefty penalties for failing to deliver products to the Armaments Agency on time.
Presidential Veto and Government Response
On Thursday, President Karol Nawrocki announced he would veto the law implementing the EU’s SAFE mechanism, stating he would never sign a law that “strikes at our sovereignty, independence, economic and military security.” He argued that SAFE is a 45-year loan with potential interest costs of up to 180 billion złoty.
Following the presidential veto, the government adopted a resolution intended to allow the use of EU funds from the program despite the veto. Instead of creating a special fund in the Bank Gospodarstwa Krajowego (BGK) to manage the funds, as the law proposed, the loan from SAFE will be taken out by BGK on behalf of the Armed Forces Support Fund.
