As NATO leaders prepare to endorse a new five percent of GDP defense spending target, European leaders are actively “girding their citizens for the possibility of more” conflict, citing Russia’s escalating aggression. This urgent backdrop, however, is complicated by internal disagreements, with Spain securing an exclusion and President Donald Trump pushing for the US to also be exempt.
The proposed five percent target is bifurcated: 3.5 percent for pure defense spending, a substantial increase from the current two percent minimum, and an additional 1.5 percent for critical infrastructure improvements, cyber defense, and societal preparedness. The emphasis on preparing societies reflects the broader concerns about hybrid attacks and the potential for a wider conflict in Europe.
Prime Minister Pedro Sánchez confirmed Spain’s exemption, indicating that the final NATO communique would no longer mandate the target for “all allies.” This move could set a precedent for other financially constrained members, like Italy and Canada, to seek similar concessions. Trump’s persistent calls for allies to increase their contributions, coupled with his labeling of Canada as a “low payer,” further underscore the internal pressures surrounding equitable burden-sharing.
The driving force behind this intensified focus on defense spending is the shared concern among European leaders about Russia’s aggressive actions in Ukraine and its broader implications for regional security. NATO experts have indicated that robust defense against a potential Russian attack requires investments of at least three percent of GDP. While a 2032 deadline has been floated for achieving the five percent target, the feasibility and enforcement of this timeline remain subjects of ongoing negotiation.