Brussels: European Union leaders have launched their most ambitious defence plan for decades, agreeing a multi-billion-euro weapons fund, shared financing for battle groups and allowing a coalition of the willing to conduct missions abroad.

It comes as tensions with Moscow and an inward turn in Washington have pushed Europe's governments to confront years of division over military cooperation.

Macron speaks almost exclusively at press conferences with other world leaders. Credit:Getty Images

New French President Emmanuel Macron, who backed a common European defence during his election campaign, called the steps "historic".

"The conclusions that were adopted a few moments ago in defence are up to the job. We must consider the historic nature of this," Macron told a news conference during an EU summit on Thursday local time.