The upcoming NATO summit may face major setbacks after Spain rejected a proposal to raise defense spending to 5% of its GDP. U.S. President Donald Trump has been pushing for this new target, but Spain insists it’s both “unreasonable” and “counterproductive.”
In a letter to NATO Secretary-General Mark Rutte, Spanish Prime Minister Pedro Sánchez said that meeting the 5% demand would harm Spain’s economic priorities and disrupt the EU’s defense ecosystem. Spain is the first country to officially reject the proposal, making its stance difficult to reverse.
Several NATO members — including Belgium, Italy, and Canada — are also struggling with the idea of such a large hike, though they have not issued public refusals. Meanwhile, Trump has warned that the U.S. may not defend countries that fail to spend enough on their militaries.
The 5% goal includes two parts: 3.5% for direct defense budgets and 1.5% for related infrastructure and civilian preparedness. However, allies disagree on what qualifies as defense spending, especially when it comes to dual-use infrastructure like roads and ports.
Countries near Russia, such as Germany and Sweden, support the plan and have begun preparing budgets to meet the target. However, Spain’s rejection could derail the summit’s progress if a consensus isn’t reached before talks begin on June 24.
With rising tensions in Eastern Europe and concerns about Russia’s military strength, NATO is under pressure to act quickly. But divisions among members and economic constraints may make unity harder than ever to achieve.