NATO’s European allies and Canada increased defence spending by 20% in real terms in 2025 compared to the previous year, alliance chief Mark Rutte reported Thursday. In his annual report, Rutte urged NATO members to maintain momentum and meet the long-term 5% GDP target set for 2035.
“I expect Allies at the next NATO Summit in Ankara to show they are on a clear and credible path towards the 5% objective,” Rutte wrote, emphasizing that “a strong transatlantic bond remains essential in an age of global uncertainty.”
The report highlighted that all NATO allies met or exceeded the 2% GDP defence spending target first established in 2014, with some countries making significant increases. Three nations — Poland, Lithuania, and Latvia — already surpassed the new 3.5% core defence spending benchmark, which covers troops, weapons, and other direct military needs. Several countries, including Spain, Canada, and Belgium, remain at 2%.
The alliance’s total expenditure in 2025 reached 2.77% of GDP, with the United States accounting for approximately 60% of overall spending. NATO members also committed to allocating 1.5% of GDP to broader defence-related measures, including cyber security, infrastructure adaptation, and protection of strategic assets.
U.S. President Donald Trump has repeatedly called on European allies to increase military spending, asserting that the U.S. should not shoulder the primary burden for the continent’s conventional defence. Trump criticised NATO on Thursday for allegedly failing to support U.S. interests in Iran, stating in a Truth Social post that “THE U.S.A. NEEDS NOTHING FROM NATO, BUT ‘NEVER FORGET’ THIS VERY IMPORTANT POINT IN TIME!”
The latest figures underscore NATO’s commitment to bolstering collective security amid rising global uncertainties, while signalling the continued need for European allies to meet future defence spending goals ahead of the next summit in Ankara.
