The US is slowing defense spending even as Europe accelerates its military outlays.
Washington remains the world’s largest military spender, at 36% of global spending last year, a new report found. But real-terms expenditure was down 7.1% in 2025. Meanwhile, Europe’s share rose from 17% in 2022 to 21% last year.
The US is keen to push more defensive responsibilities onto NATO allies, and for Europe, defense has turned from “a post-cold war choice back into a necessity,” the Financial Times argued, due to Russian aggression, Chinese military modernization, and tensions in the Middle East. Moscow’s own military surge appears to have cooled: After a 57% jump in spending between 2023 and 2024, it rose just 3% last year.