EU’s von der Leyen unveils $840bn rearmament plan

The massive defense spending boost is crucial for European security, the head of the bloc has claimed

European Commission President Ursula von der Leyen has proposed that member states spend about $840 billion on defense to strengthen their military self-sufficiency – an amount more than double total EU defense expenditure in 2024.

In a statement on Tuesday, the EU chief cited the “most dangerous of times” and the “grave” threats facing the bloc as reasons to assume greater responsibility for its own security.

“We are in an era of rearmament,” von der Leyen declared, adding that she had sent a letter outlining her ‘ReArm Europe Plan’ to member state leaders ahead of the European Council meeting later this week.

“ReArm Europe could mobilize close to €800 billion ($840 billion) for a safe and resilient Europe,” she said. “This is a moment for Europe. And we are ready to step up.”

Official data shows the bloc’s total defense spending reached an estimated $344 billion last year, marking an increase of more than 30% since 2021.

The new plan includes $158 billion in loans available to member states to invest in what von der Leyen described as “pan-European capability domains,” including air and missile defense, artillery systems, missiles and ammunition, drones, and anti-drone technology. It will also address other needs, from cybersecurity to military mobility.

The proposed five-part strategy is also designed to address the “short-term urgency” of supporting Ukraine, the EU chief said.

Von der Leyen did not specify a detailed timeline, but emphasized that defense spending must increase “urgently now but also over a longer period over this decade.”

Her announcement came just hours after news agencies reported on Monday that US President Donald Trump had ordered a pause on military aid to Ukraine. Trump has repeatedly accused Ukrainian leader Vladimir Zelensky of refusing to negotiate peace with Russia and exploiting US support for his own gain. Following Zelensky’s public clash with Trump and US Vice President J.D. Vance on Friday, the US president said America would no longer tolerate the Ukrainian leader’s attitude.

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US can no longer subsidize NATO – Rubio

The EU has historically depended significantly on the US for its security, primarily through the North Atlantic Treaty Organization (NATO). However, the Trump administration has recently signaled a major policy shift, urging European nations to take the lead in their own defense, as well as Kiev’s. Last month, Pentagon chief Pete Hegseth said that Washington intended to refocus its military priorities on countering China, warning the EU not to assume that American forces would remain in the region indefinitely.

Trump has previously warned that under his leadership the US would not defend NATO countries that fail to meet their financial commitments. He has floated the idea of raising mandatory defense spending by members to 5% of GDP, though none – including the US – currently meet that threshold.

His push for increased defense spending has drawn mixed reactions, with some EU officials questioning its economic feasibility. European officials have occasionally raised concerns that Trump could pull the US out of the organization.

Russian Deputy Foreign Minister Aleksandr Grushko recently warned that NATO appears to be preparing for war with Moscow, arguing that its current course poses a threat both to Russia and to overall security architecture.