November 3, 2026
By Stephen Iwuh | Dalena Reporters
United States President Donald Trump has announced that Washington will end approximately $4 billion in annual assistance to Israel by the end of 2026, claiming that he and Israeli Prime Minister Benjamin Netanyahu reached an agreement several months ago to discontinue the funding.
Trump made the announcement during an interview with Fox News' Fox & Friends on Tuesday, November 3, as Americans headed to the polls for the country's midterm elections. He said Israel had become economically successful and no longer needed the financial support it had received from the United States.
According to Trump, the decision was discussed directly with Netanyahu, who allegedly raised the possibility of ending American assistance.
"By the end of this year, we won't be paying Israel," Trump said, adding that the United States would continue helping the country if necessary.
The president also indicated that ending the financial assistance would not mean an end to military cooperation between the two countries. He said Washington would continue selling weapons to Israel and could provide additional assistance when required.
Trump's announcement represents a potentially significant change in the longstanding financial and military relationship between Washington and Tel Aviv, which has remained one of America's most important strategic partnerships in the Middle East.
Existing US-Israel military agreement runs until 2028
Despite Trump's announcement, questions remain about how quickly the proposed withdrawal of assistance could be implemented.
Under the existing 10-year Memorandum of Understanding between the two countries, the United States committed to providing Israel with approximately $38 billion in military assistance between 2019 and 2028.
The agreement provides roughly $3.8 billion annually, including approximately $3.3 billion in Foreign Military Financing and $500 million for missile defence cooperation.
Much of the funding is used by Israel to purchase American-made military equipment, meaning the assistance also benefits US defence manufacturers and contractors.
The existing arrangement is scheduled to expire in September 2028. Consequently, Trump's announcement of an earlier termination raises questions about whether the two governments have reached a separate agreement to modify the current arrangement and what role Congress will play in implementing the proposed change.
Reuters reported that Trump did not provide specific details explaining how the funding would be discontinued before the existing agreement expires. The White House and Netanyahu's office had not publicly provided an immediate response to the announcement.
Trump links the decision to political criticism in the United States
During the interview, Trump also connected the proposed withdrawal of assistance to growing political criticism of American support for Israel.
He specifically mentioned Democratic Senate candidate Abdul El-Sayed in Michigan, who has criticised US military assistance to Israel and made the issue part of his political campaign.
Trump argued that financial support for Israel had become an easy target for Democratic politicians seeking to challenge Republicans over government spending and American foreign policy.
He questioned why American taxpayers should continue financing assistance to a country he considers economically capable of supporting itself.
The president also suggested that ending the funding would remove an argument frequently used by political opponents against Republicans.
The comments come amid changing public attitudes towards US support for Israel, particularly following the war in Gaza and disagreements over American military involvement in the Middle East.
An ABC News/Washington Post/Ipsos poll cited by ABC News found that 58 per cent of Americans supported either reducing or completely ending US military assistance to Israel.
Netanyahu has previously discussed reducing American assistance
Although Trump's announcement has attracted considerable attention, the possibility of Israel gradually reducing its dependence on American military assistance is not entirely new.
Netanyahu has previously indicated that Israel should prepare for a future in which it receives less financial support from Washington.
According to reporting by Reuters, Netanyahu said in an October interview that Israelis should become accustomed to the possibility that the country would no longer receive the same levels of American assistance it had secured in previous years.
However, Trump's announcement appears to suggest a much faster timetable than the gradual transition previously discussed.
Israeli officials and defence sources have expressed questions about the implications of ending the assistance before the existing agreement expires. The uncertainty is particularly significant because Israel's defence planning and budgetary arrangements have been developed around the current American support framework.
Israeli opposition raises national security concerns
The announcement has also generated criticism within Israel's political establishment.
Opposition leader Gadi Eisenkot criticised the way the development emerged, arguing that a major change in the country's strategic relationship with Washington should not become public through an American television interview.
Eisenkot described the US-Israel relationship as an important component of Israel's national security and questioned the Netanyahu government's handling of the issue.
His criticism reflects concerns about whether Israel can immediately replace the financial and military benefits associated with American assistance without affecting its defence capabilities.
Israel has relied on American support for decades, including access to advanced weapons systems, military technology and cooperation on missile defence.
Although the country has developed a substantial domestic defence industry, the transition away from American financial assistance could require adjustments to military procurement, defence spending and long-term strategic planning.
What the decision could mean for American defence companies
The proposed withdrawal could also have consequences for the United States' own defence industry.
A substantial portion of American military assistance to Israel is spent on purchasing equipment manufactured by US companies. This means that the funding does not simply represent money transferred abroad; it also supports contracts, production and employment within the American defence sector.
If the assistance ends, Israel could increasingly rely on its own defence manufacturers or explore alternative arrangements for purchasing military equipment.
Nevertheless, Trump's statement that Washington would continue selling weapons to Israel suggests that commercial military cooperation could remain an important part of the relationship.
The extent of any economic impact will depend on how the proposed change is implemented, whether existing contracts are maintained and whether future purchases are made through direct commercial agreements.
Congress could play a major role
Another major question concerns the authority of the US Congress.
Although the 10-year Memorandum of Understanding is a framework for military cooperation rather than a conventional treaty, annual military assistance is supported through congressional legislation and appropriations.
Congress therefore has an important role in determining how much funding is approved and released.
Trump's announcement does not, by itself, provide a complete explanation of the legal and administrative steps required to terminate or modify the existing assistance arrangements.
Lawmakers may also debate the consequences of the proposed change for American foreign policy, regional security and the country's relationship with Israel.
A significant shift in US-Israel relations
The proposed end of approximately $4 billion in annual assistance marks a potentially important moment in the relationship between the United States and Israel.
For decades, American financial and military support has been a central feature of the partnership. A decision to discontinue that assistance earlier than originally scheduled could reshape how both countries approach defence cooperation and regional security.
However, the announcement should be distinguished from a fully implemented policy change. Trump has described an agreement with Netanyahu, but important questions remain about its precise terms, congressional involvement, existing commitments and the future structure of military cooperation.
For now, the United States is expected to maintain its weapons sales relationship with Israel, while the proposed termination of annual assistance remains subject to clarification.
Whether the announcement leads to an immediate funding cutoff or a gradual transition will become clearer as Washington and Tel Aviv provide further details about the arrangement.
