Denmark is set to increase its defense spending by 70% over the next two years, reaching 3.2% of GDP. The move comes as President Donald Trump has urged NATO countries to boost their militaries in response to Russia’s aggression.
The increased spending will be driven by a Danish intelligence report warning that Russia may start a war in Europe within five years. The report highlights the need for speed and flexibility in Denmark’s procurement plans, with Prime Minister Mette Frederiksen signaling the urgency of buying cutting-edge equipment to address growing security concerns.
Denmark’s defense increase is part of a broader trend of NATO member states re-evaluating their military spending in response to shifting global dynamics. European defense contractors have seen significant growth since Trump’s election, outperforming US giants like Lockheed Martin and Northrop Grumman.
The move also reflects ongoing tensions with Russia, which has been raising its military profile in the Arctic region. President Vladimir Putin remains hostile to the West, viewing it as a “mortal enemy,” and is expected to continue pursuing an aggressive foreign policy even if sanctions on Moscow are lifted.
NATO’s 2% GDP defense spending target has not been met by many member states, but Trump has suggested that they should aim for a 5% goal. The increased spending in Denmark will enable the country to buy advanced equipment and support Ukraine, while also sending a strong signal about its commitment to collective defense.
Source: https://fortune.com/2025/02/22/nato-ally-denmark-military-spending-weapons-russia-war-europe-ukraine-trump