Netanyahu's Office Responds to Trump's Claim of Ending US Aid

The Prime Minister's Office in Israel issued its first statement on November 6 regarding U.S. President Donald Trump's assertion that military aid to Israel would cease next year. The statement described the transition from aid to partnership between Prime Minister Benjamin Netanyahu and President Trump as a sign of the strong and adaptable relationship between the two nations. The Prime Minister's office emphasized that U.S. aid to Israel has historically been a bipartisan consensus, used for self-defense and countering threats to America and the West. However, sources close to Netanyahu indicated that Israel's strong economy now makes such aid unnecessary.

Earlier media reports suggested that Israel's defense and finance ministries were unaware of any agreements with Netanyahu that Trump mentioned. Trump claimed the issue was discussed months prior, leading to an agreement to end the approximately $3.8 billion annual military aid, which is primarily used for purchasing American military equipment.

Trump stated in a November 3 interview with Fox News that he had made a "deal with Netanyahu" to stop the annual $4 billion payment, seemingly to bolster Republican support before the midterm elections, though the statement did not prevent electoral losses. While Netanyahu had previously hinted at potential reductions in U.S. aid, even acknowledging "Israel could lose the U.S.," he had not indicated a complete cessation of aid, especially not by next year. Negotiations were ongoing to renew the existing agreement, set to expire in 2028, with discussions including potential cooperation in lieu of direct aid, a concept now echoed by Netanyahu's office.

Trump has claimed that Netanyahu himself initiated the discussion about ending aid, stating at a rally in Michigan that Israel no longer needed it. He asserted that he and Netanyahu agreed, with Netanyahu suggesting it would be "appropriate" to stop receiving aid due to internal U.S. disagreements concerning Israel. The practical implication of abruptly halting these funds would require the Ministry of Defense to find alternative financing for major procurement projects, potentially diverting funds from the state budget and impacting rearmament plans and delivery schedules. This could also affect joint projects, particularly in missile defense systems, where U.S.-Israeli cooperation is significant.