Katrin Suder, Secretary of State at the Federal Ministry of Defense, told party leaders in the Bundestag that the three countries hope to sign an agreement to launch the scheme later this year, The Local reported.
A study into how the drone should be developed will be set up at the same time.
The European countries want to build a medium-sized drone capable of carrying weapons, ready for use by the year 2025.
Between now and then, the government hopes to buy or rent American or Israeli-made unmanned aircraft.
Germany already uses the Israeli “Heron 1” drones, which do not carry weapons.
The plan remains controversial in Germany with Green party defense expert Tobias Lindner questioning the need for developing a new drone.
“The ministry has to explain whether a Europe drone project isn't just a policy to support industry, and why solutions available on the open market aren't adequate,” Lindner said.
