NATO leaders sign off on huge spending hike in major win for Trump
- NATO allies on Wednesday officially agreed to spend 5% of gross domestic product (GDP) on defence and related expenditures by 2035, signing off on a major hike pushed by the US and intended to deter Russia.
The Hague, 25 June 2025 (dpa/MIA) - NATO allies on Wednesday officially agreed to spend 5% of gross domestic product (GDP) on defence and related expenditures by 2035, signing off on a major hike pushed by the US and intended to deter Russia.
Leaders gathered for a summit in The Hague formally approved plans to more than double military expenditure to finance the Western defence alliance’s biggest rearmament programme since the Cold War, amid concerns that Moscow's armed forces could be ready to attack a NATO country within a few years.
"United in the face of profound security threats and challenges, in particular the long-term threat posed by Russia to Euro-Atlantic security and the persistent threat of terrorism, Allies commit to invest 5% of GDP annually on core defence requirements as well as defence- and security-related spending by 2035 to ensure our individual and collective obligations," the summit declaration says.
Allies will spend 3.5% of GDP annually on core defence requirements, such as weapons and troops, and an additional 1.5% on related expenses, including infrastructure and innovation.
"Allies agree to submit annual plans showing a credible, incremental path to reach this goal," the statement says.
According to the agreement, the "trajectory and balance of spending" is to be reviewed in 2029.
The hike is seen as a massive win for President Donald Trump, who has repeatedly complained that the US is shouldering a disproportionate share of the alliance’s defence budget.
Until now, NATO countries have been obliged to spend at least 2% of their economic output on defence, a goal that all member states are only set to meet this year.
Consensus under pressure
The new spending target represents a huge challenge for many of the 32 NATO states, and has not come to pass without opposition.
Spain, one of the biggest laggards when it comes to defence spending, publicly opposed the plans just days before the summit in the Netherlands, saying it had not committed to the new target as it was "not only unreasonable but even counterproductive."
But Madrid has since assured NATO chief Mark Rutte that it can meet new NATO capability targets - meaning Spain's specific defence contributions - by spending less than 3.5% of GDP, in what is believed to be a work-around engineered to ensure the unanimity required for the new spending pledge.
Commitment to mutual defence
NATO allies also reaffirmed their "ironclad commitment" to Article 5 of the NATO Treaty - which stipulates that an attack on one member shall be treated like an attack against them all - following signs of dwindling US interest in Europe’s security.
Allies said they "remain united and steadfast in our resolve to protect our one billion citizens, defend the Alliance, and safeguard our freedom and democracy."
Rutte stressed he is convinced that the US would defend a fellow member of the alliance in the case of an attack.
"For me, there is absolute clarity that the United States has totally committed to NATO, totally committed to Article 5," Rutte said on the sidelines of the summit.
On Tuesday, Trump told journalists on his way to The Hague that there are "numerous definitions of Article 5," but addressing the press ahead of Wednesday’s consultations, Trump appeared to downplay concerns surrounding the US stance, stating “we're with them all the way."
Ukraine put on the backburner
In contrast to previous summits, Ukrainian President Volodymyr Zelensky did not take part in the formal consultations with NATO leaders but was invited to side events in The Hague.
NATO allies, including the US under former president Joe Biden, agreed last year that Ukraine was on "an irreversible path" to NATO membership.
But since Trump’s return to office in January, Washington has made clear that it no longer sees Ukraine joining NATO in the near future and significantly scaled back military aid for Kiev.
In the declaration, NATO allies avoided last year’s clear language, and merely "reaffirm their enduring sovereign commitments to provide support to Ukraine, whose security contributes to ours."
They pledged to "include direct contributions towards Ukraine’s defence and its defence industry when calculating Allies’ defence spending."
Photo: NATO