Germany’s bid to overtake Russia in defense spending: Implications for Europe and Ukraine
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Sun, 13 Jul 2025 18:15:00 +0300

Contents1. Changes in German military spending after World War II2. Current situation: "Zeitenwende" and increased spending3. Public attitudes and political disputes4. Will Germany become the central military power of Europe and how will it help Ukraine?In addition, the country allocates huge funds (the most after the United States during a full-scale war) for military assistance to Ukraine. These changes, caused by the war and geopolitical challenges, may not only transform Germany's role in Europe, but also have a significant impact on supporting Ukraine in the fight against Russian aggression. More on this in Espresso.Changes in German military spending after World War IIAfter the defeat in World War II, Germany consciously limited its military ambitions. The trauma of the war, pacifist sentiment in society, and restrictions imposed by the Allies meant that the Bundeswehr (the armed forces of Germany) remained relatively weak and military spending was modest.For decades after the war, Germany relied on the United States and NATO (having joined in 1955) for protection, and its defense budget fluctuated at 1-1.5% of GDP, which was below NATO's recommended level of 2%.The pacifist culture that developed in postwar Germany based on a guilt complex contributed to a skeptical attitude towards militarization. Public opinion often opposed significant investments in the military, and politicians avoided radical changes in this area. As The Washington Post notes, for 80 years Germany “was allergic to anything resembling militarism.”For example, in the 1990s, Germany’s defense budget was about $35 billion a year, which was significantly less than that of countries such as France or the United Kingdom. Moreover, after German reunification in 1990, economic development and social programs remained the priority, not the army. After all, the Cold War ended, and following the collapse of the USSR, Germany, like the rest of Europe, exhaled and focused on economic growth, rather than on the development of the army, which began to seem to many to be a relic of the last century. It is therefore not surprising that the German army has more than halved in size in the 35 years since the Cold War.Current situation: "Zeitenwende" and rising spendingAfter Russia's annexation of Crimea in 2014, Germany began to gradually review its military policy and budget, although radical changes only occurred after Russia's full-scale invasion of Ukraine in 2022. It was the events of February 24 that became the turning point, which the previous Chancellor Olaf Scholz called "Zeitenwende" - a historical turning point. At that time, Germany announced the creation of a special fund of €100 billion to modernize the Bundeswehr and finally achieve NATO's goal of 2% of GDP on defense (in 2021 it was only 1.53% of GDP, or $56 billion).One by one, German politicians have begun to say that Russian aggression also poses a threat to Germany, so an increase in defense spending is inevitable. In particular, the German Defense Minister recently warned that Russia could attack NATO within the next four years.“What we have to do now is really to lean in and to tell everybody, hey, ramp up... get more into it because we need it. We need it to be able to defend ourselves and therefore also to build up deterrence,” said German General Carsten Breuer.In 2024, Germany’s defense budget was already about $56 billion, and in 2025 it was increased to $93 billion in total, which is about 2.4% of GDP. By 2029, the country plans to spend $175 billion on defense, including army modernization, the purchase of new weapons, infrastructure projects, and about $10 billion in aid to Ukraine each year. Total defense spending for 2025–2029 is estimated at €649 billion, or more than $700 billion, and part of the financing will be carried out using debt, that is, by attracting loans."We are on the way to commit ourselves to allocating the 3.5% NATO quota for military procurement, but an additional 1.5% for infrastructure that is of military relevance," said the new Chancellor Friedrich Merz.Military procurement is aimed primarily at modernizing equipment. The purchase of modern Leopard 2A7 tanks, Marder infantry fighting vehicles, IRIS-T and Patriot anti-aircraft systems, as well as F-35 fighters (currently the Germans have ordered 35 such aircraft from the Americans for replacement of outdated Tornado) and construction of new frigates - all this is in the Bundeswehr program.In addition, the development of unmanned aerial vehicles is important for the German army. For example, €900 million for the purchase of drones, of which €225 million is intended for Ukraine in 2025 (in particular, for the production of long-range drones). Of course, the supply of artillery shells, anti-aircraft missiles and air defense systems, such as Skynex, is also a priority. Not to mention the long-range missiles that Germany finances for Ukraine. This money will also go to investments in military training and the development of military infrastructure."All these expenses are 'sewn' into quite ambitious and large-scale weapons projects. In particular, part of the 22 billion euros that should guarantee the purchase of ammunition until 2037. The purchase of additional Boxer wheeled combat vehicles for 3.9 billion euros, as well as the scandalous Puma infantry fighting vehicles for 4.7 billion euros," writes Defence-ua.It’s also important to remember that this shift includes plans to increase the number of Bundeswehr personnel by 60,000 to 80,000 and the potential reintroduction of conscription for young people. These measures are already sparking significant debate within German society.Public attitudes and political disputesThe increase in military spending is causing a mixed reaction in Germany. Part of society supports strengthening defense, especially against the backdrop of the war in Ukraine and growing threats from Russia. However, pacifist sentiment remains strong, and some Germans, especially young people and left-wing political forces, express concern about the "militarization" of the country.Polls show that most Germans support an increase in the defense budget, but only on condition that this does not lead to cuts in social programs.Another problem is the lack of people who would like to join the army, which is voluntary in Germany.“The military revamp, following decades of neglect, is playing out as society ages and more and more people exit the workforce. Those trends have already left firms lacking skilled staff and put officials seeking to swell the army’s ranks in a bind,” Bloomberg notes.That’s why Merz’s government is considering reintroducing mandatory conscription if things don’t improve. There are also calls to speed up the path to citizenship for migrants who choose to join the army, as experts say higher salaries alone are unlikely to be enough.The political situation is also making it difficult to implement ambitious plans. In 2024, Scholz’s government faced a budget crisis due to a lack of tax revenues, which led to a proposal to cut military aid to Ukraine from €8 billion in 2024 to €4 billion in 2025. This decision has drawn criticism both within the country and among allies. However, in March 2025, the Bundestag approved an additional €3 billion in military aid to Ukraine.Currently, most of the leading parties in Germany (CDU/CSU, SPD, Greens, FDP) agree that the Bundeswehr needs significant funding and modernization against the backdrop of new threats, especially Russian aggression and instability in transatlantic relations, when the U.S .under Donald Trump can withdraw its troops from Europe at any time. Instead, the political opposition focuses on a pacifist and critical position. These are DieLinke (The Left), which opposes armed missions abroad, and the right-wing populist and pro-Russian AfD party, which is not at all against restoring relations with the Kremlin and stopping helping Ukraine.According to political scientist Stefan Meister, some Germans still associate Russia with the USSR due to the historical memory of World War II and German unification. Therefore, they can be manipulated."They just will not understand [the Russian threat] because they’re projecting their own history and the past onto the present and the future," said Meister.Will Germany become the central military power of Europe and how will this help Ukraine?Against the backdrop of a possible reduction in the U.S. military presence in Europe, especially if the Donald Trump administration implements plans to withdraw troops, Germany has a chance to become the central military power of the continent. Its economic power, technological potential and strategic location make it a natural candidate for this role.However, there are still several serious challenges. Despite investments, the German army still has problems with a shortage of personnel, outdated equipment, bureaucracy and public debate. If this can be corrected in the coming years, then we will see a military rise of Germany. But as The Guardian says, no matter how long it takes, and no matter what mistakes are made, Germany's partners "have already mentally adjusted to the return of Germany as the premier military force in Europe."Yes, Germany has historically avoided the role of military leader, and its implementation requires support from both society and politicians.elite. While we see unity, however, as Bloomberg notes, "the window of opportunity for Germany is wide open, but not for long.""Chancellor Friedrich Merz needs to move fast before headwinds derail his turnaround plans," the outlet writes.In addition, one should not forget about competition in Europe. The same France, which has nuclear weapons and a strong army, also claims leadership in European defense. President Emmanuel Macron has been striving for this for many years. Although he will leave his post in 2027 and it is not known whether his successor will want to continue this policy.FT experts believe that Germany can become the "backbone" of European defense if it continues to invest in the Bundeswehr and coordinate efforts with other NATO countries. A special fund of €100 billion and plans for €500 billion by the 2030s, agreed by Friedrich Merz and other politicians, indicate the seriousness of the intentions.The war in Ukraine has radically changed the perception of security issues by Germans. If Russia was previously considered a partner, in particular through economic ties (such as Nord Stream), then after 2022 public opinion changed dramatically. Polls in 2023 showed that 70% of Germans consider Russia the main threat to Europe, and support for Ukraine has become a moral and strategic priority. Germany is one of the largest donors to Ukraine, second only to the United States. Now, when the Donald Trump administration is in no hurry to allocate additional funds to Ukraine, it is extremely important to maintain the course that is in Germany.After all, an increase in Germany's military budget has a direct positive impact on Ukraine. This leads to an increase in weapons supplies. The additional tens of billions of euros will allow for the supply of more tanks, air defense, artillery, and drones, which is critically important for the Ukrainian Armed Forces. And Germany is already investing in the Ukrainian defense-industrial complex, which is strengthening Ukraine’s ability to produce its own weapons.In addition, a stronger Germany, as a military power, will be able to deter Russia, which will reduce the risk of a future escalation of war outside Ukraine. Germany recently began its first major permanent military deployment abroad since World War II, sending troops to NATO’s eastern flank in Lithuania. This is another important signal to the Kremlin that Germany is no longer what it used to be.“The defense of Vilnius is the defense of Berlin. And our common freedom does not end at the geopolitical line – it ends where we stop defending it,” Merz said while sending his troops to NATO’s eastern border.
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