The continent’s expenditure has risen by an estimated 14%, according to SIPRI, as Russia accuses the EU of reckless militarization
European military spending helped to propel global defense expenditure to a record high of almost $3 trillion in 2025 despite the US decreasing its outlay, 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 the global military burden to 2.5% of GDP, the report said. SIRPI experts explained the trend by citing several ongoing conflicts and persisting geopolitical tensions.
The entire European continent accounted for the largest regional increase, with spending rising 14% to $864 billion. SIPRI linked the 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 a combined $559 billion in 2025, with Germany’s outlays rising 24% to $114 billion and Spain’s jumping 50% to $40.2 billion.
US military expenditure fell 7.5% to $954 billion, with SIPRI linking a surprise decline to the Trump administration’s refusal to approve new assistance packages to Ukraine, in contrast to previous years when $127 billion in direct military support had been authorized.
The US, however, has continued deliveries via the NATO-coordinated PURL program, with other Western countries footing the bill.
Last week, Pentagon officials also said that US President Donald Trump was advocating a military budget of $1.5 trillion to provide funds for the new Golden Dome missile system, AI capabilities, and a new class of battleships.
SIPRI noted Russia’s defense expenditure grew 5.9% to $190 billion, while Ukraine increased spending by 20% to $84.1 billion, equivalent to 40% of GDP, becoming the seventh-largest military spender in the world.
Elsewhere, China increased military spending by 7.4% to $336 billion, while Japan’s expenditure rose 9.7% to $62.2 billion, and Taiwan’s by 14% to $18.2 billion.
Moscow has repeatedly condemned what it described as reckless militarization by the EU, adding that it is aimed at Russia. Kremlin spokesman Dmitry Peskov has also suggested that European propaganda seeks to turn Russia into a “model external enemy” to divert attention from internal crises.
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