Spain is shaking things up ahead of a major NATO summit by pushing back against U.S. President Donald Trump’s call for allies to boost defense spending to 5% of their GDP. Spanish Prime Minister Pedro Sánchez labeled this demand as “unreasonable.” He warned that such an increase could harm the economy and public welfare by diverting funds away from essential services.
The NATO leaders will gather in The Hague next week. Tensions are rising over America’s commitment to Europe’s defense, especially after Trump threatened to withdraw support from allies who don’t meet this new spending goal. NATO Secretary-General Mark Rutte suggested a more moderate increase to 3.5% by 2030, alongside 1.5% for security-related areas like infrastructure and cyber defense. However, Spain and a handful of other countries are hesitating.
Sánchez emphasized that rushing to meet the 5% target could slow Spain’s economic growth. He pointed out that achieving this goal could mean higher taxes for the middle class and cuts in crucial public services like education and healthcare. This concern isn’t unique to Spain; many leaders share similar fears about balancing defense spending with social responsibilities.
Interestingly, experts have noted that spending on defense often competes with investments in renewable energy and international aid. As various countries grapple with economic challenges, leaders like Sánchez are advocating for a more thoughtful approach to defense spending—one that doesn’t compromise other vital areas.
The Spanish Prime Minister also raised practical issues about how to spend increased defense budgets effectively. A quick pivot to meet the 5% demand might lead to impulsive purchasing decisions, potentially undermining interoperability among NATO member equipment and shifting funds to non-European suppliers, which could stifle the development of a local defense industry.
Sánchez proposed two alternatives to Rutte: either exempt Spain from any new spending targets or create a more flexible plan that makes these goals optional. As of now, Spain is among the NATO members not meeting the current defense spending target of 2%.
Alongside these discussions, NATO has streamlined the upcoming leaders’ summit to minimize potential disruptions from Trump. Initially, it was set for three days but now will be condensed into a two-and-a-half-hour working session focused solely on the spending proposal. This change aims to keep proceedings focused and prevent Trump from leaving early, as he did during a previous G7 summit.
As world leaders prepare for the summit, they’ll be looking to address pressing defense issues while also considering the wider economic implications of increased military spending. These discussions are critical as Europe navigates a complex security landscape.
For more on NATO’s defense commitments, you can check the official NATO website.