Thierry Breton, the EU Commissioner, told Reuters that the EU wants to keep up with the US and China in terms of space research.This comes after SpaceXs success with launching NASA astronauts to the International Space Station.
It also follows after Chinas recent moon mission last year.
The EU will sign a 1 billion (913 million) deal with Arianespace for more research into spaceflight innovation.
Arianespace is a commercial rocket launcher that operates in France.
Mr Breton said: Space is one of Europes strong points, and were giving ourselves the means to speed up."
He also explained that the EU will be hoping to look at reusable rockets.
He added: SpaceX has redefined the standards for launchers, so Ariane 6 is a necessary step, but not the ultimate aim: we must start thinking now about Ariane 7.
Ariane 6 is a rocket launcher created by the European Space Agency.
The rocket launcher is over 60 metres tall and weighs almost 900 tonnes when launched.
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The European Space Agency worked with over 600 companies in 13 European countries to develop Ariane 6.
The spacecrafts first flight was scheduled for 2020, however, it is yet to lift off.
Ariane 6 is reportedly able to launch both heavy and light payloads to a wide range of orbits.
It can be used for Earth observation, telecommunication, meteorology, science and navigation.
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Arian 6 is set to be launched from Europes Spaceport in Kourou, French Guiana in South America.
The European Space Council decided to start developing Ariane in 2014.
Mr Breton is allegedly asking for 16 billion (14 billion) an additional to fund space exploration in the European Commissions next budget.
Of the funds, 1 billion (913 million) is set to be used for a European Space Fund that will help space startups.
The EU is reportedly also looking at investing in a satellite system to provide high-speed internet across Europe.
This would be similar to the Starlink satellites being launched by SpaceX.
Elon Musks rocket company has been sending Starlink satellites into orbit.
Earlier in June, the company carried 58 of its own broadband satellites as well as three Earth-observing spacecraft for Planet Labs into space.
There are reportedly more than 500 starling satellites in low-Earth orbit.
SpaceX aims to bring tens of thousands of orbiting routers into space to surround the Earth with broadband internet access.
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