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Europe's Defense Spending Soars 12.6% Amid Rising Tensions

2/26/2026

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Story summary
  • European defense spending rose 12.6% in 2025, reaching $563 billion, per the International Institute for Strategic Studies.
  • North Atlantic Treaty Organization (NATO) sets 5% of GDP for defense spending, up from 2%.
  • Germany led the rise, with its defense budget surpassing $107 billion in 2025.
  • Global military spending rose to $2.63 trillion in 2025, 2.5% above 2024, as Europe expands defense amid Russian aggression and reduced U.S. support.