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Mark Ruthte, Secretary General of the North Atlantic Treaty (NATO), left, and US President Donald Trump, during the NATO summit in The Hague, the Netherlands, on Wednesday, June 25, 2025.
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NATO allies on Wednesday agreed to more than double the cost of defense costs from 2% gross domestic product to 5% by 2035, in the most decisive step from the alliance in ten years.
In a joint declaration, the Western military bloc said that “united in front of deep threats and security problems”, in particular, a long-term threat that Russia was piggy to Euro-Atlantic security and a “sustainable threat” of terrorism.
“Allies are obliged to invest 5% of GDP annually on the main protection requirements, as well as by 2035, related to protection and security to ensure our individual and collective commitments.”
The 5% figure consists of “at least 3.5% of GDP, which should be spent on” clean “protection, and the rest goes for the safety and protection of” critical infrastructure “to ensure the statement:” Our civil readiness and stability, resolution of innovations and strengthen our defense of the industrial base. “
The Allies will have to represent the annual plans, “which show a reliable, gradual way to reach this goal,” NATO said, after refusing some of the member states, especially Spain.
Some member states do not yet reach the 2014 goal to spend 2% defense GDP.
The historical step goes against the backdrop of tensions in the Middle East and a permanent war between Ukraine and Russia. Participants also pushed the new goal after many years of pressure on both conditions of US President Donald Trump for Canadian and European allies in Washington to share more burden of collective defense.
The Alliance on Wednesday also confirmed its “iron commitment to collective defense”, as enshrined in Article 5, that the attack on one is an attack on all, the following issues of US reliability when it came to the NATO central post.
“We remain united and unwavering in determining to protect our billion citizens, defend the alliance and defend our freedom and democracy,” the statement said.
“Quantum jump”
Addressing the summit, NATO Secretary General Mark Ruthte said the agreement would nourish the quantum jump in the collective defense of the alliance.
The transaction “not only increases our safety, but also creates jobs,” Rute continued, saying that the allies had “significant obligations to fulfill significant threats”.
According to him, the Allies recognized the burden of threats facing the alliance, and “united in understanding what we need to step up to remain safe.”
The Hague, the Netherlands – June 25: NATO leaders listen to NATO Secretary General Mark Ruthte appears in the opening of the North Atlantic Council on the second day of the 2025 summit on June 25, 2025 in Hague, the NATO. This year, the NATO summit, which brings together the heads of state and government from all over the military alliance, is held in the Netherlands for the first time. Among other issues, members should approve a new protection plan that raises the target for defense costs to 5% GDP. (Photo by Brendan Smialski – Pool/Getti Image)
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He said that President Trump emphasized that America is committed to NATO, but expects European allies and Canada to contribute more, “and this is what we see,” Rute said.
Rutht acknowledged that it was the “day” needed to increase the Alliance protection opportunities, and said: “We need to innovate and we need to act quickly.”
“The decisions made today will make NATO much stronger, they also make NATO a fair alliance.
When he took the press questions about his relationship with Trump, Rute said, “I think he deserves all praise.”
When he entered the summit at the end of Tuesday, Trump seemed to question NATO’s Central Principle (in Article 5), which claims that an attack on one member is an attack on everyone.
“There are many definitions of Article 5. Do you know what, huh?” Trump told reporters about the Air Force first. “But I try to be their friends, you know, I made friends with many executives, and I try to help them.”
Rute said on Wednesday that he trusted the president and that the US “fully committed” to the pact, saying: “You know, Article 5 is absolutely clear, and at the same time we always said that we would never tell in detail if Article 5 would be launched.”
Ruthte also said that Spain was “serious” and devotedly a 3.5% goal, despite the fact that Madrid doubts about the summit.
“Cool, calm and collected”
Compared to the 2025 meeting with the “balance of the new NATO, where we have more equilibrium and more Europe,” Finnish president said CNBC after a joint statement that the atmosphere at the summit was “cool, calm and collected.”
“I think it was a lot on my own, which, as I believe, is deserved because it was a historical meeting of NATO, which returned to its roots collective self-defense as holding Russia,” said Alexander Stub Sedvik.
Stubb said that Trump and Rute were “very happy” with the results, and “there were a lot of smiles at the table, regardless of the difficult situation in which we are.”
“I think the Americans are happy and … Europeans woke up and smelled coffee,” he added.
Commenting on the obvious turn of Spain, German Foreign Minister Johann Vadeful said CNBC that “after all, they knew that one against 31 (member states) was pointless.”
The fact that NATO will “be” completely together “was an” iron “message from the top, he said Steve Sedwik CNBC. He noted that Berlin, who made a 5% target for this week’s gathering, took some time to get to this point, but now he was ready to show more.
“The United States has admitted that Europe has returned again,” he said.
. RUXandra Iordache CNBC has reported in this article.
