European Union leaders are gathering today for a high-stakes meeting in Brussels to discuss strengthening the continent’s defence capabilities in response to Russia’s threats and recent policy shifts by U.S. President Donald Trump.
Held at a former royal palace turned conference centre, the one-day retreat—led by European Council President António Costa—aims to facilitate open discussions rather than formal decisions. NATO Secretary General Mark Rutte and British Prime Minister Keir Starmer will also participate in key discussions on Europe’s security future.
A major concern among EU leaders is Trump’s recent imposition of tariffs on Canada, Mexico, and China, raising fears that similar measures could soon target Europe. The meeting will also address Trump’s renewed pressure on NATO allies to increase their defence spending, with a controversial demand that European nations allocate 5% of GDP to military budgets—a level no NATO member currently meets.
Adding further tension, Trump’s call for Denmark to cede Greenland to the U.S., coupled with his refusal to rule out military or economic pressure on Copenhagen, has intensified transatlantic strains.
Costa emphasized Europe’s need for greater autonomy in security matters, stating that the continent must become more resilient, efficient, and a reliable defence actor. However, finding the financial resources remains a significant hurdle. Some nations, particularly France and the Baltic states, support joint EU borrowing to fund defence initiatives. In contrast, Germany and the Netherlands remain opposed. A possible compromise under discussion is borrowing to finance loans rather than outright grants.
Europe has significantly increased military spending since Russia’s 2022 invasion of Ukraine. In 2024, EU nations spent an estimated €326 billion ($334 billion) on defence—averaging 1.9% of GDP—marking a 30% increase since 2021. However, spending levels vary widely across the bloc, with Poland leading at over 4.1% of GDP, while major economies like Italy and Spain contribute significantly less at around 1.5% and 1.3%, respectively.
As discussions unfold, EU leaders will weigh how best to balance financial constraints with the urgent need to strengthen Europe's defence strategy amid growing geopolitical challenges.