The European Commission and Australia have successfully concluded negotiations on Australia's association to Horizon Europe, the EU's €93.5 billion research and innovation funding programme, the European External Action Service (EEAS) announced on 9 June 2026. Under the agreement, Australia will associate to Pillar II of Horizon Europe, which addresses societal challenges in digital, industry and space; climate, energy and mobility; and food, bioeconomy and agriculture fields.
Ekaterina Zaharieva, European Commissioner for Startups, Research, and Innovation, said: "We can tackle the challenges of tomorrow only together. That is why the future of science and technology depends on strong international partnerships, like the one between the EU and Australia." She highlighted past joint successes such as the Square Kilometre Array radio telescope and expressed confidence that combining strengths in industry, space, climate action, and the bioeconomy will drive transformative innovations.
The milestone formalises an already thriving scientific partnership. To date under Horizon Europe, Australian organisations have participated in 239 projects, with nearly one in four individual applications from Australia selected for participation — a 24.39% success rate.
Transition to associated country status
From January 2027, under a transitional arrangement, Australian entities will move from third-country rules — where they typically had to self-fund or rely on narrow exceptions for funding — to being treated as 'eligible entities' from an associated country. This will grant them direct, routine access to EU funding under Pillar II on equal terms with EU Member States, including the ability to lead project consortia.
Impact on stakeholders
For Australian researchers and businesses, the association removes a major funding barrier, opening up participation in collaborative projects with EU partners on a competitive footing. EU research organisations gain access to Australian expertise and innovation capacity, potentially accelerating breakthroughs in priority areas. The Australian government, which negotiated the deal, secures enhanced returns on its research investment through EU co-funding. EU taxpayers benefit from a broader pool of talent addressing societal challenges, though the programme's budget is shared with an additional non-EU partner.
No prior coverage of this file exists in the last 180 days. The agreement now awaits formal signature and ratification by both sides.
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