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Prime Minister Mark Carney said Canada and its NATO allies agreed to hike Defense expenses target five percent of annual GDP by 2035.
Carney says that Canada can no longer count on its geography to protect it as new weapons and that threats emerge on the Wold scene.
NATO secretary general, Mark Rutte, presented a plan that says that the Allies will invest 3.5% in basic defense needs – such as jets and weapons – and 1.5% in areas adjacent to defense, such as infrastructure and cybersecurity.
The new objective of five percent represents a massive leap compared to the previous objective of 2%, which Canada has struggled to reach for years.
Carney said the new NATO agreement will see the country’s annual defense budget increase to around $ 150 billion.
He said the new commitment will be examined in 2029 to “ensure that commitments are aligned with the world’s security landscape”.
Canada has not spent the equivalent of five percent of defense since the 1950s and currently no member of NATO – not even the United States – spends 5%.
Before Wednesday’s meeting, Great Britain, France, the Netherlands and Germany were all committed to the target of five percent. NATO countries are close to the borders of Ukraine, Russia and its Belarus ally, it also undertook to do so.
Some countries, such as Spain and Slovakia, have expressed their concerns about the objective.
Before Wednesday’s official meeting of the North Atlantic Council, Carney held bilateral meetings with Prime Minister Christopher Luxon of New Zealand and Prime Minister Kristen Michal of Estonia.
Carney was seen discussing with several leaders in the room at the meeting on Wednesday, notably French president Emmanuel Macron and British Prime Minister Keir Starmer. The Minister of Foreign Affairs, Anita Anand, also went to speak for a few minutes with the American defense secretary, Pete Hegseth.
A short video played before Rutte reveals the remarks to the leaders gathered around a large table. He said that the meeting arrived at a dangerous moment, citing wars in the Middle East and Ukraine.
“This decision is deeply rooted in our basic mission and is necessary to recharge our plans and preparation,” said Rutte. “It will also make NATO more, to guarantee that anyone and everyone contribute to their fair share for our security.
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“For too long, an ally, the United States, has brought too much charge of this commitment. And that changes today,” he added, saying that US President Donald Trump “made this change possible.”
Rutte said that the Allies will agree to further increase defense production so that his armed forces have “everything they need”. He said decisions include the continuous support of allies in Ukraine and called on Russia to “end its assault”.
Dutch Prime Minister Dick Schoof added that the NATO allies were “about to write history” by making decisions leading to an “unprecedented increase” of his collective defense expenses and a new financial balance in his alliance.
“The two are urgent, the two are necessary and the two will help make our transatlantic affair even stronger,” said Schoof.
Noting the war in Ukraine, Schoof declared that there was a “renewed conscience” that peace cannot be held for acquired and that it must be protected.
“And yes, peace has a cost,” said Schoof, urging members to remain united and “adopt” the plan. “We must act on this touch quickly and decisively.”
Carney told CNN International on Tuesday that Canada will reach the target in part by developing deposits of critical minerals and that some of the work will be carried out in partnership with the European Union, the EU member states, the United Kingdom and other allies.
He also said five percent of GDP would mean a $ 150 billion defense budget for Canada. NATO said that in 2024 Canada had spent $ 41 billion.
The 32 NATO member counties must agree on a new expenditure objective and will also have to debate the calendar of its implementation.
Earlier this year, US President Donald Trump suggested that the United States could abandon his commitments to the Alliance if member countries do not reach their defense spending targets.
The president generated more uncertainty on Tuesday when he declared that his commitment to the mutual defense guarantee in the NATO treaty “depends on your definition” of this guarantee.
Healed later by journalists, Rutte said that he had no doubt about the American commitment to NATO and article 5, the part of the NATO treaty which indicates that an armed attack on a member is an attack on all.
Trump, who has long accused the Alliance not to pay his fair share towards the cost of his defense, is also the main engine of the plan to increase the objective of defense expenses of the members.
During a dinner with NATO leaders on Tuesday, Rutte thanked Trump for pushing for a spending hike and bringing Europe to “actually intensify”.
Kerry Buck, the former Canada Ambassador to NATO, told Canada’s press that he was in the interest of Canada and European allies to keep the United States in NATO as “deeply and as long as possible.”
“Everything we can do to go through this NATO summit with few public fruits between the United States and other allies to anything, and meet very long American demand to rebalance defense expenses, which will be good for Canada because NATO is good for Canada,” said Buck.
Great Britain, France, the Netherlands and Germany have all committed to the target of five percent. NATO countries are close to the borders of Ukraine, Russia and its Belaruss ally.
But some are reluctant, including Spain and Slovakia.
Rutte warned on Monday that no country can withdraw from the target and that the progress made to the new target will be examined in four years.
– With files from the Associated Press and the Canadian Press’ Kyle Duggan in Ottawa.
& Copy 2025 the Canadian press
