Close Menu
  • Home
  • Aerospace & Defense
    • Automation & Process Control
      • Automotive & Transportation
  • Banking & Finance
    • Chemicals & Materials
    • Consumer Goods & Services
  • Economy
    • Electronics & Semiconductor
  • Energy & Resources
    • Food & Beverage
    • Hospitality & Tourism
    • Information Technology
  • Agriculture
What's Hot

‘Breaking Bad’ creator’s new show ‘Pluribus’ emphasizes that it was ‘created by humans’, not AI

Is Wall Street losing faith in AI?

The crisis at semiconductor maker Nexperia sent automakers into a panic. Here’s what you need to know

Facebook X (Twitter) Instagram
USA Business Watch – Insightful News on Economy, Finance, Politics & Industry
  • Home
  • Aerospace & Defense
    • Automation & Process Control
      • Automotive & Transportation
  • Banking & Finance
    • Chemicals & Materials
    • Consumer Goods & Services
  • Economy
    • Electronics & Semiconductor
  • Energy & Resources
    • Food & Beverage
    • Hospitality & Tourism
    • Information Technology
  • Agriculture
  • Home
  • About Us
  • Advertise With Us
  • Contact us
  • DMCA
  • Privacy Policy
  • Terms & Conditions
USA Business Watch – Insightful News on Economy, Finance, Politics & Industry
Home » NATO commits to major defence spending hike sought by Trump | NATO News
Economy

NATO commits to major defence spending hike sought by Trump | NATO News

ThefuturedatainsightsBy ThefuturedatainsightsJune 25, 2025No Comments4 Mins Read
Share Facebook Twitter Pinterest Copy Link Telegram LinkedIn Tumblr Email
Share
Facebook Twitter LinkedIn Pinterest Email


The bloc agreed to boost spending to 5 percent of GDP, but Spain, Belgium and Slovakia said they will struggle to meet target.

NATO allies have agreed to massively boost military spending while affirming their “ironclad commitment” to collective defence.

Leaders from the 32-member bloc pledged to allocate up to 5 percent of their national GDP to defence and related sectors by 2035, describing the move as a “quantum leap” in collective security.

The new pledge was made in a summit communique agreed on Wednesday in The Hague. It stated that members would “invest 5 percent of GDP annually on core defence requirements as well as defence- and security-related spending”.

The commitment includes a review point in 2029, conveniently set for after the next US presidential election, to evaluate progress and reassess the threat posed by Russia.

NATO Secretary General Mark Rutte hailed the agreement as “transformational”, a sentiment echoed by several leaders, though it glossed over clear differences within the alliance.

US President Donald Trump, who has repeatedly pushed for a higher NATO defence spending commitment, took credit for the shift.

“[It’s] something that no one really thought possible,” Trump said at the summit. “They said, ‘You did it, sir. You did it.’ Well, I don’t know if I did it, but I think I did.”

In a move that will likely curry favour with Trump, British Prime Minister Keir Starmer said on Wednesday that the United Kingdom expects to spend at least 4.1 percent on defence and security by 2027.

Britain's Prime Minister Keir Starmer and US President Donald Trump attend a meeting of the North Atlantic Council (NAC) during a NATO summit in The Hague, Netherlands June 25, 2025. [Toby Melville/Reuters]
Britain’s Prime Minister Keir Starmer and US President Donald Trump attend a meeting of the North Atlantic Council (NAC) during a NATO summit in The Hague, Netherlands, June 25, 2025 [Toby Melville/Reuters]

Divisions over spending

Not everyone is on board. Spain has already said it cannot meet the 5 percent target. Prime Minister Pedro Sanchez insisted that his government would stick with the existing 2 percent threshold — a benchmark first set following Russia’s full-scale invasion of Ukraine in 2022.

“Spain can carry out NATO’s defence plans at 2 percent of GDP,” Sanchez said. “This summit secures both our national security and the welfare of our citizens.”

Spain is NATO’s lowest spender on defence. In 2024, it spent 1.24 percent and was among the nine member countries to fall short of the 2 percent target.

Trump was quick to criticise Madrid’s stance, threatening retaliation through economic means.

“They want to stay at 2 percent. I think it’s terrible,” the US president said. “We’re negotiating a trade deal with Spain — they’ll end up paying double.”

Spain’s economy minister responded to Trump’s threat on Wednesday, noting that it is the European Commission that’s in charge of trade negotiations with the United States.

“Europe also has tools to defend itself if no deal is reached,” Economy Minister Carlos Cuerpo told Spanish state news agency EFE, according to Reuters.

Belgium and Slovakia also raised objections. Brussels warned that the timeline was unrealistic, while Bratislava said it reserved the right to make independent decisions on its own military spending.

Steep spending demands

Despite the pushback, the declaration formalised new targets: 3.5 percent for NATO’s “core defence spending,” plus an additional 1.5 percent for broader security measures — from infrastructure upgrades like roads and ports to cyber defence and emergency response capabilities.

Norwegian Prime Minister Jonas Gahr Store described the agreement as unprecedented.

“We struggled for years just to get past 2 percent,” he said. “Now we’re talking about 3.5 percent, which is necessary to build the capabilities we need.”

The spending demands are steep. As the US increasingly shifts strategic focus to the Middle East and Indo-Pacific, European members are being urged to shoulder more of the military burden.

The commitments come as the US remains engaged in multiple theatres, including ongoing arms support for Ukraine’s fight against Russia, supporting Israel’s war on Gaza, and backing continued strikes on Lebanon, Syria and Yemen. More recently, Israel’s war with Iran has further stretched US military resources.



Source link

Follow on Google News Follow on Flipboard
Share. Facebook Twitter Pinterest LinkedIn Tumblr Email Copy Link
Previous ArticleSouthwest Airport Lounge? According to the CEO, the careers are open to high-end changes
Next Article Julie Bornstein’s Daydream is releasing AI-powered chatbots for fashion-related shopping
Thefuturedatainsights
  • Website

Related Posts

Commercial flights hit by US shutdown as calls grow to ground private jets | Travel News

November 7, 2025

Honda profits tumble as Trump tariffs weigh on the carmaker | Automotive Industry News

November 7, 2025

What’s in Elon Musk’s bumper $878bn pay package? | Automotive Industry News

November 7, 2025
Leave A Reply Cancel Reply

Latest Posts

Farmers plan tractor protest in London on autumn budget day

Farmers hold tractor protests across the country over inheritance tax reform

From toilet to toilet: ‘CowToilet’ promises to make UK farms cleaner and greener

SNP faces criticism over ‘failed’ agricultural investment plan in Holyrood

Latest Posts

If flight suspensions continue, next week’s flight cancellations will get worse.

November 8, 2025

AXON Stock 2025 Q3 Earnings

November 5, 2025

Jim Cramer says buy Boeing on Wednesday’s selloff — he’s looking forward, not backward.

October 29, 2025

Subscribe to News

Subscribe to our newsletter and never miss our latest news

Subscribe my Newsletter for New Posts & tips Let's stay updated!

Recent Posts

  • ‘Breaking Bad’ creator’s new show ‘Pluribus’ emphasizes that it was ‘created by humans’, not AI
  • Is Wall Street losing faith in AI?
  • The crisis at semiconductor maker Nexperia sent automakers into a panic. Here’s what you need to know
  • Danish government aims to ban children under 15 from accessing social media
  • OpenAI asks Trump administration to expand Chip Act tax credits for data centers

Recent Comments

No comments to show.

Welcome to USA Business Watch – your trusted source for real-time insights, in-depth analysis, and industry trends across the American and global business landscape.

At USABusinessWatch.com, we aim to inform decision-makers, professionals, entrepreneurs, and curious minds with credible news and expert commentary across key sectors that shape the economy and society.

Facebook X (Twitter) Instagram Pinterest YouTube

Subscribe to Updates

Subscribe to our newsletter and never miss our latest news

Subscribe my Newsletter for New Posts & tips Let's stay updated!

Archives

  • November 2025
  • October 2025
  • September 2025
  • August 2025
  • July 2025
  • June 2025
  • March 2022
  • January 2021

Categories

  • Aerospace & Defense
  • Agriculture
  • Automation & Process Control
  • Automotive & Transportation
  • Banking & Finance
  • Chemicals & Materials
  • Consumer Goods & Services
  • Economy
  • Economy
  • Electronics & Semiconductor
  • Energy & Resources
  • Food & Beverage
  • Hospitality & Tourism
  • Information Technology
  • Political
Facebook X (Twitter) Instagram Pinterest
  • Home
  • About Us
  • Advertise With Us
  • Contact us
  • DMCA
  • Privacy Policy
  • Terms & Conditions
© 2025 usabusinesswatch. Designed by usabusinesswatch.

Type above and press Enter to search. Press Esc to cancel.