US NewsTrump's 5% NATO defense push dubbed 'imperial tax' by Spain

Trump's 5% NATO defense push dubbed 'imperial tax' by Spain

Donald Trump, the President-elect of the USA, has suggested that NATO countries allocate 5% of their GDP to defense spending. The Spanish newspaper "La Vanguardia" describes this proposal as an "imperial tax" and argues that it aims to boost American arms sales. European politicians have also responded to this proposal.

Donald Trump wants 5% GDP defense spending in NATO
Donald Trump wants 5% GDP defense spending in NATO
Images source: © Getty Images | 2024 Getty Images

Before assuming office, Donald Trump suggested that NATO countries allocate 5% of their GDP to defense. He argued that nations with conventional militaries should invest 4%, but those in high-risk areas should increase their spending to 5%, emphasizing that such contributions are financially feasible for all member states.

"Imperial tax": Spanish media on Trump's proposal

The proposal has drawn comments from both European politicians and the media. The Spanish daily "La Vanguardia" points out that during the previous term, Trump demanded a 2% GDP commitment to defense. Raising it to 5% would be a considerable increase. This would mean additional expenses of nearly 42 billion dollars annually for Spain. The newspaper stresses that "flooding the world with dollars is no longer sufficient" and that this increase could reduce the U.S. trade deficit while encouraging Europe to purchase American weapons. The media explicitly labels Trump’s proposal as an "imperial tax."

Meanwhile, El Pais cautions that European countries should avoid negotiating individually with Trump, as they might not benefit from such discussions. The newspaper highlights that Trump places little importance on international agreements, undermining his credibility in peace negotiations with Russia.

According to El Pais, only Vladimir Putin might benefit from Trump's approach, which the newspaper interprets as support for his actions in Ukraine. The newspaper adds that Trump is simultaneously "encouraging China to take similar actions in Asia."

How much does Europe spend on defense?

Politico reminds us that 5% of GDP is more than any NATO member spends. Poland is closest to this level, reaching 4.12% of GDP in 2024, with plans to allocate 4.7% this year. The United States, on the other hand, spent 3.4% of its GDP last year. Estonia, for instance, is set to allocate 3.7% of its GDP this year.

Trump's proposals are causing a stir among European politicians. Some outright consider them unrealistic. "I don't think it will be 5%, which would be impossible for almost every nation in the world right now," commented Italy's Defense Minister, Guido Crosetto. As Politico points out, Italy aims to reach a defense spending level of 2% of GDP by 2028.

The Chancellor of Germany, currently dealing with budgetary challenges, cautiously mentioned that NATO countries "will strengthen defense capabilities." The UK aims to spend around 2.5% of GDP but has not specified a timeline for achieving this. The Czech Prime Minister stated that a realistic goal for his country would be 3% within a few years.

Meanwhile, Sweden's foreign minister noted a broad consensus on increasing defense spending. For a long time, U.S. governments have urged European countries to increase defense spending and share the costs. We agree with this view," she asserted.

As Politico highlights, in 2023, the United States accounted for 68% of NATO's defense spending, amounting to 916 billion dollars. For European countries, the figure was 28%. The service emphasizes that Trump's proposal would be "extreme" for many countries' budgets, with the possible exception of Poland.

NATO Secretary General Mark Rutte emphasized during a Thursday conversation with dpa that he wants to persuade Donald Trump to ease restrictions on European allies purchasing military equipment from the USA. He said Europe could buy more if it weren't for stringent American export regulations.

Related content
© essanews.com
·

Downloading, reproduction, storage, or any other use of content available on this website—regardless of its nature and form of expression (in particular, but not limited to verbal, verbal-musical, musical, audiovisual, audio, textual, graphic, and the data and information contained therein, databases and the data contained therein) and its form (e.g., literary, journalistic, scientific, cartographic, computer programs, visual arts, photographic)—requires prior and explicit consent from Wirtualna Polska Media Spółka Akcyjna, headquartered in Warsaw, the owner of this website, regardless of the method of exploration and the technique used (manual or automated, including the use of machine learning or artificial intelligence programs). The above restriction does not apply solely to facilitate their search by internet search engines and uses within contractual relations or permitted use as specified by applicable law.Detailed information regarding this notice can be found  here.