Spain threatens to block NATO's 5% defense spending target

Spain 's government is preparing to block an agreement among NATO countries to raise defence spending to 5% of GDP just days out from a major summit, Spanish media has reported. NATO Secretary General Mark Rutte is pushing for members of the transatlantic security bloc to boost their defence spending to 5% GDP by 2032, after US President Donald Trump declared America's allies were shirking their responsibilities.
The proposal stipulates that 3.5% of GDP should be earmarked for core military spending with a further 1.5% dedicated to broader security-related areas such as infrastructure. US Defence Secretary Pete Hegseth said he expected the agreement to be sealed at next week's NATO summit, set to be held in the Netherlands on June 24-25. 'We are very close, almost near consensus, on a five per cent commitment for NATO in The Hague later this month,' Hegseth said after a recent meeting with his NATO counterparts in Brussels.
'This alliance, we believe, in a matter of weeks, will be committing to five per cent... we think every country can step up.' But El Pais reported this week that Madrid is set to send a formal letter to Rutte rejecting the proposal, which must be agreed upon unanimously. For Spain, spending 5% of GDP on defence would mean boosting its annual defence budget by around €80 billion - nearly half the size of the country's entire pensions bill and a move the government is unwilling to accept.
Madrid has been signalling its opposition to a mandated defence spending increase for weeks, with Defence Minister Margarita Robles declaring at a NATO Minister's meeting earlier this month: 'We think that two per cent is enough to meet the responsibilities we have committed to.' More than a decade ago, NATO stipulated that its members must spend a minimum of 2% GDP on defence.
The push to increase this threshold to 5% comes amid concerns over Russia's ongoing war in Ukraine and the Trump administration's desire to reduce Europe's dependency on Washington for defence and security as Washington turns its focus to China and the Indo-Pacific. The US is by far the biggest spender on defence overall in terms - forking out a total of $967.7billion, equivalent to 3.38% of GDP. But America falls behind Poland and Estonia in percentage spend. These nations contribute 4.12% and 3.43% of their respective GDP on defence.
The UK by comparison spends around $81.4billion, equivalent to 2.33% of its GDP, with Sir Keir Starmer 's government insisting it is on a 'path' to increasing this to 2.5 per cent. But no member of the alliance is close to spending 5% of GDP on defence at present, and some nations - including Spain , Canada , Italy and Portugal - are still lagging below the 2% threshold. Madrid is at the bottom of the pile, spending just 1.28% as of this year.
Speaking earlier this month, the Spanish Defence Minister said Madrid would not veto the decision to raise the defence spending target but said that the government would only focus on meeting self-imposed targets. 'What is important is that each country is able to meet the objectives it has set itself,' she added. Now, however, El Pais claims the Spanish government will formally push back in a move that could scupper the deal.
Sources told the paper that Madrid is not ruling out Europe eventually reaching the 5% target, especially if Russia's militarisation continues, but said that it was 'premature' to set an official figure now. 'Spain is not in favour, and there's a coalition of countries that share that view,' one official said. Earlier this month, NATO ministers signed off on new capability targets for the weaponry needed to deter Russia as they began finalising the 5% spending target.
German Defence Minister Boris Pistorius estimated the new requirements meant Berlin would need to add 'around 50,000 to 60,000' more soldiers to its army. His Dutch counterpart Ruben Brekelmans said reaching the level requested would cost the Netherlands at least 3.5% of GDP. 'The new defence investment plan, of course, is rooted in what we need in terms of the hard capabilities,' Rutte said.

Try Our AI Features

Explore what Daily8 AI can do for you:

Learn with AIFact CheckingText to SpeechAI Summary

Related Articles

Auto Car

an hour ago

• Auto Car

MWIC Bonus Episode 13: Autocar Meets car designer Julian Thomson, GM Advanced Design Europe

Close Julian Thomson is one of the world's best car designers and if you don't know the name, you'll know his cars. As Lotus's chief designer he designed the Elise and at Jaguar Land Rover created the LRX concept, which went on to become the Range Rover Evoque. But most of Thomson's career has been spent in advanced design and that's where he finds himself now, at General Motors' new advanced design centre Europe. Why does GM need a European design centre and what will it do? Join Steve Cropley and Matt Prior as they put these questions and many more to one of the world's most eminent car designers.

Auto Blog

an hour ago

• Auto Blog

Audi May Take Drastic Action To Dodge Tariffs

German Media Fears Massive Costs The ongoing uncertainty around how bad tariffs may get ahead of the July 9 deadline for agreement, for European automakers in particular, is no reason to stay idle. Regardless of what the final impact will be, tariffs aren't going anywhere anytime soon, and according to German magazine Der Spiegel, Audi is considering building a production facility somewhere in the southern U.S. to minimize the effects. But it's not an easy call to make. As noted by Automotive News, building a plant here would be 'the more expensive option out of a number of scenarios being considered, with company sources estimating costs of up to €4 billion (approximately $4.6 billion). So will it happen anyway? An Audi spokesperson has confirmed that the automaker intends to build its U.S. presence, but that's typical non-committal public relations speak. 0:04 / 0:09 Walmart is selling a 'heavy duty' $89 step ladder for $48, and shoppers say it's 'sturdy and secure' Watch More Audi Will Make A Decision This Year, Probably Source:'We are currently examining various scenarios for this. We are confident that we will make a decision this year in consultation with the [Volkswagen] Group on how this will look in concrete terms,' the spokesperson wrote in an email. Audi has been rumored to be examining the viability of a U.S. plant for several years, but up until now, the automaker has been performing relatively well in America, although Audi's 2024 sales showed a sharp year-on-year decline of 14%, indicating that changes must be made somewhere, regardless of current or future tariff measures. To help effect that change, Audi is working on a fresh new design language, and U.S. manufacturing (or at least assembly) may help future arrivals find broader appeal with competitive pricing. BMW has been producing cars in South Carolina since 1994, and in those 30-odd years, it's grown to become the largest automotive exporter by value in the U.S. Perhaps Audi would benefit from a similar approach. Where Audi Could Put Down Roots As part of the Volkswagen Group, Audi wouldn't necessarily have to start from scratch. The VW brand operates a plant in Chattanooga, Tennessee, where the ID.4 EV and the Atlas and Atlas Cross Sport SUVs are produced, and its Scout Motors brand is building one in Columbia, South Carolina. But that's it – Porsche won't be moving production to America because its sales volumes would not justify such extensive investment, and its customer base is not unused to absorbing exorbitant price increases. As we noted earlier, Audi hasn't made a decision yet because it's exploring other options. One of those reportedly is to negotiate a tariff import deal with the U.S. government, which compatriot automakers BMW, Mercedes-Benz, and VW are said to be collaboratively pursuing alongside the Ingolstadt-based manufacturer. BMW and Mercedes are the only exporters in this group, but all have made significant investments in the U.S. About the Author Sebastian Cenizo View Profile

The Sun

2 hours ago

• The Sun

Vladimir Putin rages ‘all of Ukraine is ours' as he threatens to seize key city while Kyiv slams tyrant as ‘deranged'

TYRANT Vladimir Putin cemented his territorial ambitions by proclaiming "all of Ukraine" belonged to Russia and threatening to invade more land. Ukraine slammed Putin's comments as "deranged" and called for Kyiv's allies to slap "devastating sanctions" on Russia. 10 10 10 10 Speaking at Russia's flagship economic forum in Saint Petersburg, Putin reaffirmed his long-held claim that Russians and Ukrainians are "one people". He declared: "In that sense, all of Ukraine is ours. "There is a saying: wherever a Russian soldier sets foot, that is ours," he added. The narrative is central to Putin's rhetoric, which he has used to justify his invasion of Ukraine. However, he said Russia is ready to recognise Ukraine's sovereignty. But he reiterated his demand that Kyiv accept the realities of Moscow's territorial gains and abandon plans to join Nato. Putin said: "We aren't seeking Ukraine's surrender, we want them to recognise the realities on the ground," adding that Moscow has repeatedly warned Kyiv to make a deal. Asked about Moscow's goals in Ukraine, Putin threatened to take Sumy - a key Ukrainian city - as part of the creation of a "buffer zone". He repeated that Moscow was "advancing on all fronts" and that his troops had penetrated up to seven miles into the Sumy region. Putin said: "We have to create a security zone along the border. Putin has lost a MILLION men - Ukraine has killed so many it is running out of ammo "We have no objective to take Sumy, but in principle I do not rule it out... They pose a constant threat to us, constantly shelling the border areas." Ukrainian Foreign Minister Andriy Sybiga described Putin's comments as "deranged" and called for Kyiv's allies to slap "devastating sanctions" on Russia. "The only way to force Russia into peace is to deprive it of its sense of impunity," he wrote in a post on X. Putin's widening territorial ambitions are likely to roil Ukrainian President Volodymyr Zelensky, who has accused Moscow of not wanting to end the fighting. The two sides held rounds of direct talks in Istanbul in May and in June, but Kyiv accused Moscow of sending "dummy" negotiators with no real power to enact a peace deal. Putin has declined to take part in the peace talks in person and on Thursday said he would only meet Zelensky during a "final phase" of negotiations on ending the three-year conflict. He has also insisted that Ukraine give up territory it already controls for peace. Kyiv says it cannot and will not accept Russian occupation of any part of its land. 10 10 10 It comes as Putin's battlefield casualties have soared past the bloody one million milestone after 40 months of meatgrinder war. Ukraine's fierce resistance forced Russia to pay a mighty toll for every inch of land it has taken, and its advances remain painfully slow. The staggering milestone includes troops who have been killed or wounded so severely that they cannot fight on. According to the Ukrainian General Staff, one million Russian military troops have been put out of action since February 24, 2022, with 628,000 of those casualties occurring in the last six months. Burning through a million troops has won Putin just 20 per cent of Ukraine's total territory - mainly in southern and eastern areas - which is a humiliating conversion rate. Despite the devastating losses which have already ripped a scar in Russian society, experts fear that Putin is likely unaffected by the numbers. Zelensky confirmed that Moscow has been attempting to gain ground in the border regions of Sumy in the northeast. Even with the death toll climbing higher by the day Putin appears to be doubling down. The bloody milestone comes as Putin calls for a major upgrade to Russia's ground forces, Ukrainian outlet Pravda reports. 10 The Kremlin tyrant declared them the 'dominant force' in modern warfare and demanded faster development of 'advanced weapons systems' with 'the highest tactical and technical specifications.' In a meeting on the state armaments programme, Putin also directed resources toward strengthening Russia's navy, further signalling his long-term military ambitions. It all comes as Russia is reportedly building up a 50,000-strong force alongside the border of Kharkiv amid fears of a fresh summer offensive to attack the city. With the US backing out of direct negotiations to broker a peace deal and Putin stalling ceasefire talks, experts fear a major Russian offensive could mobilise in the coming weeks. The Ukrainian military in April reported that the Kremlin was amassing troops to prepare for a fresh assault on Kharkiv - Ukraine's second largest city. Military analysts believe he is trying to press home his advantage and capture more Ukrainian land. They warn that Putin only has a "four-month window" to get a breakthrough in Ukraine this year. And this could be the beginning of Russia's summer offensive targeting the border city of Kharkiv - the "fortress" city of Ukraine which put up the maximum resistance at the start of the invasion. 10 10