The Brussels confrontation

Defense Secretary Pete Hegseth delivered a 12-minute speech at the NATO headquarters in Brussels that officials described as frosty. He accused European allies of a "shameful" refusal to support the United States during its conflict with Iran, known as Operation Epic Fury. Many capitals either said no, attempted to entangle requests in legal debates, or publicly criticized the US, he said.

“As President Trump put it, and rightly so, he set a test for our allies to support America when we asked for their help, and far too many failed.”

NATO 3.0 review announced

Hegseth announced a comprehensive six-month Pentagon review of the American military footprint in Europe, including force levels, bases, access rights, and overflight permissions. The review is part of a push toward what he called NATO 3.0, a rebalancing in which Europe takes primary responsibility for its own defense.

“This will be a real review. It will be designed to ensure that NATO is moving quickly and irreversibly toward a state where Europe is in the lead, taking on the primary role and responsibility for the defense of the European continent.”

He said the effort would involve consultations with Congress and allies, but made clear that future US contributions will depend on allies meeting their defense-spending targets.

Pressure on defense spending

The confrontation follows months of Trump administration pressure on European allies to raise defense budgets to 5 percent of GDP, a target agreed last summer in The Hague. Hegseth said some allies understood the message and acted, but others still fail to recognize what he called the historic need to rebuild a meaningful and strong military alliance. He warned that US annual contributions to NATO would be reduced where allies do not spend with the required urgency.

Already, the Pentagon has withdrawn 5,000 troops from Germany, canceled a long-range missile battalion deployment there, and notified allies in May that it was reducing the availability of fighter jets, refueling tankers, naval surveillance aircraft, and warships previously committed to NATO force plans. According to German daily Die Welt, the reductions could also include one of the two carrier strike groups allocated to the alliance and all submarine-based cruise-missile capability.

Rutte tries to calm nerves

NATO Secretary General Mark Rutte sought to lower the temperature after the session. He framed the review as a redistribution of forces, not a punitive withdrawal, and insisted that the White House had acknowledged progress since its initial demands in February. Rutte noted that European and Canadian spending has increased, and that the US still sees value in the alliance.

“I think it’s important that this ally, which for many years spent far more on defense than the Europeans and Canadians combined, continues to apply that pressure while recognizing that great progress has been made.”

Rutte also welcomed the US-Iran agreement, saying the allies are satisfied with the deal and that Iran’s missile and nuclear capabilities have been degraded. He highlighted a French- and British-led coalition of about 40 countries that could assist with demining operations in the Strait of Hormuz, noting that Europe has capabilities (icebreakers, minesweepers) that the US lacks.

Next steps

Allies now face a July 7–8 leaders’ summit in Ankara, where defense spending and the NATO 3.0 review will dominate the agenda. Hegseth made clear that the review is a genuine assessment and that some countries will fail while others will pass with flying colors. The outcome will shape the long-term American military presence in Europe as the Trump administration shifts strategic focus toward China and the Indo-Pacific.