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NATO Allies Draft Defense Spending Overhaul to Address Trump’s 5% Demand

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Photo: NATO Allies Draft Defense Spending Overhaul to Address Trump’s 5% Demand. Source: nato-int
Photo: NATO Allies Draft Defense Spending Overhaul to Address Trump’s 5% Demand. Source: nato-int

NATO member states are working on a landmark agreement to significantly raise defense spending, aiming to meet former U.S. President Donald Trump’s demand that all allies allocate 5% of their GDP to defense. The proposal is expected to be a central topic at the upcoming NATO summit in The Hague this June.

The Gaze reports on this with reference to Bloomberg.

Citing informed diplomatic sources, “Bloomberg” reports that discussions are underway to establish a multi-tiered defense spending framework. This includes a new baseline of 3.5% of GDP for traditional military expenditures, supplemented by an additional 1.5% to cover broader defense-related costs such as cyber defense, dual-use goods, and military mobility.

This marks what could become the largest defense investment increase among NATO allies since the end of the Cold War. The move is viewed as a response not only to heightened transatlantic tensions but also to Russia’s ongoing war against Ukraine, which has reignited concerns about European security.

NATO Secretary General Mark Rutte is reportedly spearheading the initiative, advocating for a more rigorous and transparent verification mechanism to ensure compliance, contrasting with the Alliance’s current flexible spending goals. Sources say the plan will be presented for discussion at the NATO Foreign Ministers’ meeting in Turkey on May 14-16.

Rutte is also pushing for internal NATO reforms aimed at improving governance and efficiency, a move some see as designed to appeal directly to Trump. U.S. officials have reportedly warned that Trump may skip the upcoming summit if allies fail to present a united front on increased defense commitments and burden sharing.

If adopted, the spending framework would mark a profound shift in NATO’s strategic posture – one designed not only to meet American expectations but to strengthen the Alliance’s deterrent capacity in an increasingly unstable global environment.

As The Gaze reported earlier, Ukraine’s Western allies are in advanced talks to provide additional Patriot air defense systems to Kyiv, aiming to finalize an agreement before the NATO summit in late June.

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