Israel seeks new 10-year US security pact as current aid deal nears end, report says

Israel is preparing to negotiate a new 10-year security agreement with the United States, focusing on joint arms development and defense technology rather than direct grants, as the current $38 billion aid package approaches expiration in 2028.
Israeli Prime Minister Benjamin Netanyahu is initiating talks with the Trump administration to establish a new 10-year bilateral security agreement ahead of the expiration of the current military aid framework in 2028, according to a report in The Times of Israel. The proposed pact would shift emphasis from direct financial grants toward joint weapons development, defense technology cooperation, and deepened strategic partnerships.
Moving Beyond Direct Aid
The existing 10-year Memorandum of Understanding, signed in 2016, provides Israel with $38 billion in military assistance, including support for missile defense systems. Citing former senior Defense Ministry adviser Gil Pinchas, the report suggests Israel may gradually reduce reliance on what he termed “free money”—approximately $3.8 billion in annual U.S. military grants—as its economy and domestic defense industry expand. Netanyahu has previously stated Israel aims to taper dependence on U.S. military aid over the coming decade.
Context of Ongoing War
The current U.S. security backing has underpinned Israel’s military capabilities during its war in Gaza, which began in October 2023. Palestinian health authorities report the offensive has killed more than 71,000 people, mostly women and children, injured over 171,000, and devastated civilian infrastructure. The United Nations estimates reconstruction costs in Gaza at roughly $70 billion.
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