The security environment in Europe changed drastically on 24 February 2022 with Russia’s full-scale and brutal invasion of Ukraine. This led NATO to reassess its deterrence and defence posture.
NATO Heads of State and Government have agreed new and ambitious Capability Targets and a new defence investment pledge of 5% of Gross Domestic Product (GDP) in June 2025.
The new Capability Targets agreed by NATO defence ministers will create a long-term increase in demand for defence industrial production.
The Alliance needs a robust defence industrial base, supported by the exchange of best practices between Allies; identifying options for financial risk-sharing; reducing barriers to cooperation; expanding multinational procurement; improving standardisation and interoperability; and expanding cooperation with partners, including Ukraine, the Indo-Pacific partners, and the European Union (EU).
What is NATO's plan? Learn more in the new NATO Review article: