US Reviews Europe Forces, Blasts NATO
Analysis based on 51 articles · First reported Jun 18, 2026 · Last updated Jun 18, 2026
The announcement of a six-month review of United States forces in Europe and the criticism of NATO allies by Pete Hegseth could lead to significant shifts in defense spending and military posture among NATO members. This uncertainty may negatively impact defense contractors and create volatility in European markets as countries reassess their security strategies and potentially increase their own defense budgets.
United States Defense Secretary Pete Hegseth announced a six-month review of US forces in Europe during a NATO defense ministers meeting in Brussels. He criticized allies for insufficient defense spending and their lack of support during the Iran war, calling their actions 'shameful'. The review aims to ensure Europe takes primary responsibility for its defense and that the United States has assured access to bases and airspace. Hegseth also linked US contributions to NATO's running costs to allies meeting defense spending targets. This move, along with previous reductions in US military assets for NATO operations, has sparked concerns among European allies like Germany about their vulnerability to an aggressive Russia. NATO Secretary-General Mark Rutte acknowledged the US reductions but emphasized that allies would 'max out' their efforts in case of war, noting that Europe and Canada have already increased defense spending by $90 billion.
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