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Trump’s NATO criticism is ‘valid,’ Europe isn’t spending enough on defense, UK ex-minister says
Trump’s NATO criticism is ‘valid,’ Europe isn’t spending enough on defense, UK ex-minister says · CNBC
  • President Donald Trump is pushing other countries within the NATO military alliance to contribute more to their defense spending

  • In 2017, the U.S. spent (at current exchange rates) an estimated $685.9 billion on defense

  • Trump has criticized other NATO members for not spending enough on defense

President Donald Trump is pushing other countries within the NATO military alliance to contribute more to their defense spending — and the U.K.’s former defense minister has told CNBC that he agrees.

“Half the alliance — 16 of the 29 countries — don’t even spend 1.5 percent (of gross domestic product) let alone 2 percent that we all agreed on four years ago (at a NATO summit) in Wales,” Michael Fallon, who served as secretary of state for defense from 2014 to 2017, said Tuesday.

“Four years on, and not enough European countries are making progress towards it and they need to do that and the president’s criticisms are quite valid.”

Trump is due to attend a NATO summit in Brussels on Wednesday and the thorny issue of how much the alliance’s individual members spend on defense is certain to arise. On Tuesday, Trump was still tweeting his annoyance.

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Number crunching

In 2014, NATO members agreed to target spending 2 percent of gross domestic product (GDP) on defense, although the contributions remain voluntary. In 2017, only the U.S., U.K., Greece, Poland and Estonia reached the 2 percent target.

In 2017, the U.S. spent (at current exchange rates) an estimated $685.9 billion on defense , NATO data shows, the U.K. spent $55.3 billion and Germany $45 billion, compared to Canada’s $22.4 billion. The U.S. represented a 71.1 percent share of the alliance’s combined defense expenditure .

NATO collects defense expenditure data from each member’s defense ministry. The latest data from the organization, released Tuesday, estimated that for 2018 the U.S. will spend 3.5 percent of GDP on defense, while NATO Europe and Canada are expected to both spend 1.47 percent.

At a NATO summit in May 2017, Trump lambasted fellow member nations saying, "Twenty-three of the 28 member nations are still not paying what they should… Many of these nations owe massive amounts of money from past years."

What makes Trump particularly cross is the fact that the U.S. pays so much “to protect Europe,” as Trump said last week at a rally in Montana, while Europe “kills us on trade” and the European Union had a 120 billion euro ($140 billion) trade surplus with the States in 2017 — a bone of contention for the president .

Trump has since threatened that the U.S. might not come to the aid of a NATO member should it be attacked, and there are concerns that Washington. could pull troops out of Europe.