U.S. President Donald Trump, third from right, meets with Egypt's President Abdel Fattah al-Sisi on the sidelines of the G7 summit in Evian-les-Bains, France, Wednesday. AP-Yonhap

EVIAN, France — European G7 nations and the United States are to grant licences for Ukraine-based companies to produce long-range missiles and air defence systems, a diplomatic source said Wednesday, with German Chancellor Friedrich Merz confirming the move.

The announcement comes during a three-day G7 meeting in the French town of Evian of the leaders of Britain, Canada, France, Germany, Italy, Japan and the United States, who pledged to intensify pressure on Russia to end more than four years of war against Ukraine.

"We are going to produce under licence not only air defence systems, but also deep-strike capabilities," said the diplomatic source.

Merz confirmed the decision, telling reporters: "We are all currently producing too little, and this can be offset by granting licences to companies that have these production capabilities, including European and Ukrainian firms."