Israel Confirms Phased End to US Military Aid

The office of Israeli Prime Minister Benjamin Netanyahu confirmed on Wednesday that Israel intends to gradually phase out American military aid, marking a strategic shift in the bilateral relationship. This clarification follows earlier statements by Donald Trump regarding the future of this assistance, which had raised questions about the timeline for its cessation. Discussions are focused on a progressive reduction of U.S. funding, potentially coupled with enhanced cooperation in missile defense.

In a statement, Netanyahu's office recalled that in 1996, the Prime Minister committed to phasing out U.S. economic aid, then totaling $1.2 billion annually. "He did it," the statement emphasized, drawing a parallel to the current situation. "Thirty years later, Prime Minister Netanyahu has declared that Israel is economically strong enough to phase out military aid."

According to his office, both allies aim to transition "from aid to partnership," an evolution presented as a reflection of their strong relationship. This direction had previously been mentioned by Netanyahu in May during a CBS interview, where he stated his desire to "bring American financial support to zero."

U.S. Secretary of State Marco Rubio confirmed in Paris this week that the initiative originated from the Israeli side, describing it as a proposal put forth by Israel. The Prime Minister's office stressed that this joint approach with Donald Trump demonstrates the two countries' ability to adapt their cooperation to new economic and strategic realities.

However, Trump's initial announcement had surprised several senior Israeli officials, with neither the Finance Ministry, the Defense Ministry, nor the IDF having been informed of his intention to publicize the agreement. Negotiations are now underway to define the terms of the future arrangement, involving representatives from the U.S. State Department, the Israeli Ministry of Defense, and the Israeli Embassy in the United States.

The current agreement provides $3.8 billion in annual U.S. aid, with $3.3 billion primarily for acquiring American military equipment and $500 million for missile defense cooperation. This latter amount could potentially increase under the future agreement to bolster joint development of systems like Iron Dome, David's Sling, and Arrow. The stated objective is to gradually reduce Israel's financial dependence while deepening the technological and strategic partnership between the two nations.