The European Commission plans to bankroll a Ukraine drone initiative using Russian assets.
European Union leaders are gathering for defence talks under tight security.
The week-long curb follows recent drone scares at Danish airports.
A key AfD committee meets in Erfurt as the party clashes over bringing back conscription.
Berlin warns of rising Russian and Chinese space warfare capabilities.
Brussels says a basic network could be operational within a year.
Germany plans to award nearly €83 billion in defence contracts over the next year, with only about 8 percent earmarked for American weapons.
EU capitals are split over how far and how fast to build a common defence industry.
Paris signals a shift towards structured voluntary service to bolster defence.
Bern seeks exemptions to revive industry and permit re-exports to Ukraine.