United States Military Spending
Military expenditure as % of GDP MS.MIL.XPND.GD.ZS
United States's military spending was 3.25% in 2025, ranked 22nd globally. This represents a 4.9% decrease from 2024. Data from World Bank, covering 1960–2025.
Overview
United States's military spending stood at 3.25% in 2025, a decline of +0.17% from 2024. Based on recent trends, this figure is projected to reach 3.25% by 2025. United States ranked 22nd globally.
U.S. military outlays have fallen dramatically from an all‑time peak of 9.42 percent of gross domestic product in 1967 to a trough of 3.09 percent in 1999, before stabilising at 3.25 percent in 2025, which ranks the United States 22nd globally. The decline reflects the post‑Cold‑War drawdown and successive fiscal restraints, while the modest rebound since the early 2000s coincides with heightened security commitments and technological modernization. Over the 66‑year series, the United States’ share of GDP devoted to defence is now comparable to that of Greece (3.15 percent) and Lithuania (3.33 percent), countries whose own defence budgets have risen modestly amid regional security concerns. The current level remains well above the 1999 low, suggesting a new baseline rather than a temporary surge. Future trajectories will hinge on the balance between geopolitical pressures, domestic budgetary priorities and the pace of emerging defence technologies, which could either lift the share further or anchor it near the present rate.
Data & projection
| Year | Military Spending | YoY change | Rank |
|---|---|---|---|
| 2027* trend | 3.14% | - | - |
| 2026* trend | 3.20% | - | - |
| 2025* trend | 3.25% | - | - |
| 2025 | 3.25% | −0.17% | #22 |
| 2024 | 3.42% | +0.11% | #130 |
| 2023 | 3.30% | −0.01% | #131 |
| 2022 | 3.31% | −0.10% | #133 |
| 2021 | 3.40% | −0.24% | #136 |
| 2020 | 3.65% | +0.24% | #138 |
| 2019 | 3.41% | +0.11% | #136 |
| 2018 | 3.30% | +0.01% | #138 |
| 2017 | 3.30% | −0.10% | #135 |
| 2016 | 3.40% | −0.06% | #132 |
| 2015 | 3.46% | −0.21% | #134 |
| 2014 | 3.68% | −0.34% | #136 |
| 2013 | 4.02% | −0.44% | #138 |
| 2012 | 4.46% | −0.36% | #142 |
| 2011 | 4.82% | −0.08% | #137 |
Analysis
United States's military spending was 3.25% in 2025, a decline of −0.17% from 2024. Based on trends, estimated 3.25% by 2025.
The headlines indicate continued investor interest in defense stocks like RTX, Boeing, and GE Aerospace, suggesting an expectation of sustained demand for military equipment and services. However, the uncertain future of the Pentagon's AI and autonomy initiatives due to a lack of congressional support highlights potential political challenges in allocating funds for specific modernization efforts. These developments reflect both a robust defense industry outlook and internal hurdles within the context of the United States' military spending, which currently stands at 3.25%.
Frequently Asked Questions
United States's military spending was 3.25% in 2025. Ranked 22nd globally. This represents a 4.9% decrease from the previous year.
United States's military spending peaked at 9.42% in 1967.
The lowest military spending in United States was 3.09% in 1999.
United States ranks 22nd globally in military spending as of 2025.
The World Bank indicator code is MS.MIL.XPND.GD.ZS. Data sourced from World Bank.
United States's military spending is projected to reach 3.25% by 2025 based on trend extrapolation.
The military spending of United States in 2025 was 3.25%. This ranks 22nd in the world.
Cite this page
@misc{historysaid_united-states_military-spending,
title = {United States Military Spending},
url = {https://historysaid.com/united-states/military-spending/},
publisher = {HistorySaid},
year = {2026}
}