Home Business NewsTrump pulls plug on $4bn annual military aid in stunning Netanyahu snub

Trump pulls plug on $4bn annual military aid in stunning Netanyahu snub

4th Nov 26 10:57 am

Donald Trump has announced that the US will end its $4bn annual military funding for Israel after this year, signalling a potentially historic shift in the relationship between Washington and its closest Middle Eastern ally as political support for the country weakens among American voters.

The President said the US would continue selling weapons to Israel and would still provide assistance if required, but insisted the country no longer needed the annual financial support. His announcement, made as Americans went to the polls in the midterm elections, appeared partly intended to neutralise criticism from Democrats over Republican backing for Israel.

Mr Trump also suggested that the funding had become a political liability, with opposition politicians increasingly using American military assistance to attack his party.

“Now, as far as paying Israel, Bibi Netanyahu and I have made a deal that we give Israel $4billion a year, and we made a deal months ago that we’re stopping,” he told Fox News.

“We’ve already agreed that by the end of this year we won’t be paying Israel. Now we’ll help Israel if they need it.”

The announcement could mark a significant change in US-Israeli relations, although Mr Trump offered few details about how the arrangement would be brought to an end. The existing memorandum of understanding between the two countries, which provides Israel with $3.8bn in annual military assistance, is not due to expire until September 2028.

Congress also passed legislation in 2020 authorising the funding, although the Senate and House of Representatives must approve annual appropriations bills before the money can be distributed.

The timing of the President’s declaration raised questions about its political and strategic significance, particularly as the US and Israel remain engaged in conflict with Iran more than eight months after launching joint attacks against the Islamic Republic.

Jon Alterman, of the Washington-based Center for Strategic and International Studies, questioned why Mr Trump had chosen election day to make the announcement.

“The curious issue is timing,” he said.

“Why did President Trump announce it on Election Day? And why did he announce it amidst speculation that a major joint US-Israeli military strike against Iran may be days away?”

The move comes as American public opinion towards Israel has shifted sharply, particularly among Democrats, following the devastating Israeli military campaign in Gaza after the Hamas-led attacks of October 7 2023.

A Quinnipiac University poll in June found that 48 per cent of American voters believed the US was too supportive of Israel, compared with 16 per cent when the question was first asked in 2017. Among Democrats, the proportion had risen from 20 per cent to 66 per cent.

The shift has become increasingly visible in Democratic politics. Candidates critical of Israel have won party primaries over the past year, while even traditionally moderate lawmakers have shown greater willingness to challenge Washington’s longstanding support for the Israeli government.

Mr Trump’s Republican coalition is also facing divisions. Some figures within the Make America Great Again movement have become increasingly critical of Israel, arguing that its government misled the President into believing Iran could be defeated easily.

That criticism has gained traction as the conflict has driven up American petrol prices and weighed on Mr Trump’s approval ratings. Many voters have expressed opposition to the war, creating political pressure on a President who campaigned on avoiding foreign military entanglements.

The decision to end the annual funding could therefore serve several purposes for Mr Trump: distancing himself from an increasingly unpopular war, responding to criticism from parts of his political base and removing an issue Democrats have used to challenge Republican candidates.

However, the announcement does not necessarily signal an end to American military support. Mr Trump explicitly left open the possibility of weapons sales and further assistance if Israel faced a serious threat.

Discussions had already been under way about the future of US financial assistance beyond 2028, with Israeli Prime Minister Benjamin Netanyahu acknowledging that the country would eventually need to adjust to a reduction in American funding.

In an October interview with Israeli television, Mr Netanyahu warned that continued aid on the same scale should not be taken for granted.

“If you think we’re going to continue receiving what I secured twice, and that’s tens of billions of dollars in American aid for the defence budget, prepare yourselves and get used to the fact that it won’t happen because America has changed,” he said.

Mr Netanyahu’s own political position has also become less secure. An October 27 election cost his coalition its governing majority, although opposition parties failed to secure a clear route to removing him from power. Complex negotiations over the formation of a new government are expected to follow.

The Israeli leader has cultivated close ties with Mr Trump and the Republican Party, but the changing political climate in Washington presents a growing challenge. Support for Israel, once a relatively firm bipartisan consensus in Congress, has become a divisive issue increasingly shaped by party allegiance, the Gaza war and the wider confrontation with Iran.

The President’s declaration leaves significant questions unanswered, not least whether Congress will support the proposed withdrawal and how Israel will replace the funding if it ends.

For Netanyahu, the warning is unmistakable: the era of dependable American military assistance cannot be assumed to continue indefinitely. For Mr Trump, the challenge will be balancing pressure from voters and his own political movement against the strategic importance of Israel as Washington confronts an increasingly volatile Middle East.

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