„The end of US military aid at an inconvenient time.” Israeli media on Trump's decision

Under an agreement concluded in 2016, the US provides Israel with $3.8 billion annually, including $3.3 billion for the purchase of American armaments and $500 million for missile defence. However, it remains unclear how Trump’s announcement will be implemented, as the agreement is in force until 2028, and the disbursement of funds stipulated therein depends on Congressional decisions. According to Israeli media, representatives from the Ministries of Defence and Finance, as well as the army, were unaware that aid could end as early as 2026. They had expected a gradual reduction, which Netanyahu had been signalling for months. In September 2025, the Prime Minister presented a vision of Israel as a „super-Sparta”—a state capable of functioning despite international isolation, particularly in the field of armaments. In January 2026, he announced a total withdrawal from American military aid within a decade.

This concept is a response to Israel’s growing international isolation, primarily linked to the war in the Gaza Strip. Fearing restrictions on arms supplies, the government announced at the end of 2025 that it would allocate approximately $110 billion over 10 years for the development of the domestic industry. According to Israeli commentators, forgoing American subsidies is intended to limit Washington’s pressure on Israel regarding military operations in the Gaza Strip and Lebanon, as well as violence by Jewish settlers in the occupied West Bank. Israeli military officials have feared restrictions on the supply of American weaponry for this reason since 2023, the start of the war with Hamas in the Gaza Strip. One high-ranking official, quoted by the Calcalist daily on 18 October, warned that Israel would have to „get down on its knees and beg” for weapons. Military officials admitted in the newspaper that becoming independent of American aid is necessary, but the ongoing regional war makes this the worst moment for such a move.

In January, the Ynet portal assessed that Netanyahu is attempting to pre-empt a decision from Washington, where opposition to funding Israel is growing both within the left wing of the Democratic Party and the Trumpist MAGA movement. Commentators differ in their assessment of the costs of ending American aid. On Tuesday, Ynet quoted a high-ranking Ministry of Finance official who warned that the loss of two years of support means $8 billion that will have to be covered by taxes. Meanwhile, in January, Yedioth Ahronoth assessed that the Israeli economy could afford to forgo the annual aid—which constitutes about 0.5 per cent of GDP—provided that access to American weaponry and technology is maintained. However, withdrawing from regular aid could reduce the US’s willingness to provide Israel with additional support. During the two years of the war in the Gaza Strip, Washington has provided a total of approximately $22 billion, including over $14 billion in additional war aid. This amount corresponded to nearly a quarter of the costs of the war.

Without American support, Israel would have to raise taxes, increase debt, or further restrict public spending, Calcalist assessed. Despite its highly developed technology and defence industries, Israel remains dependent on the US for supplies of fighter jets, aerial refuelling tankers, and helicopters, among others. Although Trump announced the continued sale of American weaponry, even financing purchases with domestic funds does not guarantee Washington’s approval for deliveries, especially following a change of administration in the White House. Netanyahu never intended to completely abandon American support; he merely wanted to replace it with broader cooperation regarding armament purchases, joint investments, and technology development. According to Israeli media, both countries have been in talks since May regarding a new 10- or 20-year agreement. „Three years of war in the Gaza Strip and the constant images of killed civilians, as well as the joint, failed war with Iran, have caused enormous damage to Israel,” wrote Ynet commentator Nadav Eyal on Tuesday.

„Close relations with American military institutions and the defence industry are at stake. Nevertheless, many Israelis still do not understand how negatively Netanyahu is perceived by Americans,” he assessed. Historically, Israel is the largest recipient of American aid—according toCalcalist, it received approximately $330 billion between 1946 and 2024, including $86 billion in civilian aid. Military support increased after the Yom Kippur War in 1973 and became permanent after the conclusion of the Israel-Egypt peace treaty in 1979.