Canada to spend $150 billion a year on defence in historic NATO deal backed by Trump

In the next decade, Canada promised almost four times the military expenditures and spent 5 percent of his annual GDP until 2035, the most important investment in Canadian military capacity since the Second World War.

The announcement arrived at a NATO summit in The Hague on Wednesday, June 26, and Prime Minister Mark Carney joined leaders during the alliance to approve a new defense criterion aimed at supporting Western deterrence in the midst of global instability.

“This is about maintaining Canadian sovereignty and ensuring that our armed forces need the tools they need, Car said Carney. “With our allies, we must ensure that Canada is strong, united and not only today, but today is ready to face the threats of tomorrow.”

An expensive commitment

If the commitment is fully implemented, it will increase Canada’s defense budget to $ 107 billion in direct military expenditures and to approximately $ 150 billion per year, including $ 43 billion for critical infrastructure such as airports, bases, ports and cyber capabilities.

Carney, in his statement to journalists, the plan in 2029 to ensure that it is still compatible with the threats, he added.
Canada is currently spending about 1.4 percent of its GDP to defend, NATO has long been far below its 2 percent target. The new criterion significantly raises the bar for all the alliance members and represents a political victory for US President Donald Trump, who has long been pushing NATO allies to share the defense burden for a long time.
NATO Secretary General Mark Rutte praised the influence of Trump: “Since 2016, your leadership has already produced $ 1 trillion in extra expenditures. Today’s decisions will produce trillions more.”
On the other hand, NATO leaders sought assurance from Trump that the United States remained bound to Article 5 of the Alliance, which was treated as an attack attacking someone.

Orum I’m standing with him, so I’m here, Tr Trump said when he still asked if he’s still supporting Article 5. “If I didn’t stop with him, I wouldn’t be here.”

Nevertheless, questions about Trump’s consistency continue. At the beginning of this week, he said that Article 5 was a “many definitions çocuklar that worried about diplomats.

What does it mean for Canadians

Carney acknowledged that reaching a 5 percent target would require a change. “The people who have sacrificed so far have been men and women of the Canadian armed forces,” he said.

He warned that future sacrifices may contain interruptions in other federal programs or increased taxes.

“If we pass to higher defense expenditures because it is necessary, we will have to take into account what the federal government can do.”

However, Carney insisted on a “measured speed” to prevent the cost excesses and economic deductions of expenditures.

Carney also used the summit to negotiate with European allies to diversify Canada’s military supply chain, including a potential shift from American-made F-35 fighter aircraft. A final decision on this review is expected until the end of summer. In addition, after 2027, he pointed out a longer -term interest in acquiring European submarines with decisions.

“This is a great supply process,” he said. “But there is much interest to help us with this.”