US Secretary of War Pete Hegseth slams New Zealand for ‘freeloading’ on defence
US Secretary of War Pete Hegseth speaks during the 23rd Shangri-La Dialogue. When asked about New Zealand's level of defence spending he said "Two percent is not enough. I want partners to step up." Photo / Getty Images.
US Secretary of War Pete Hegseth has criticised New Zealand’s level of defence spending, saying the US will no longer tolerate “freeloading” off its military.
“For those who continue to free-ride on the generosity of the American taxpayer, hear us now: those days are over. Allies that refuse to stand up and carry their weight for our collective defence will face a clear shift in how we do business,” Hegseth said.
New Zealand Defence Minister Chris Penk was listening in the audience as Hegseth made the critical comments today at the Shangri-La Dialogue in Singapore.
Hegseth said he expected allied governments to spend 3.5% of GDP and defence spending could no longer be an “afterthought”.
His comments come just two days after New Zealand laid out a financial plan aimed at boosting defence spending to just over 2% of GDP over eight years – a far cry from Hegseth’s demands.
New Zealand journalist and foreign affairs expert Anna Fifield – who writes the Between Giants global affairs newsletter on Substack – witnessed Hegseth making the comments and asked him if New Zealand was therefore considered a “freerider”.
Hegseth said 2% of GDP was not enough, so “2% is freeloading”.
He said allies can’t just say, “‘Oh, we’ve been friends for a long time, so let’s work together.’ It’s, ‘We’ve been friends for a long time so you better have the same visibility as we do, because if we don’t, our alliance is meaningless.
“And that’s the kind of realism President Trump has asked me to inject into all relationships” he said.
Hegseth also said he didn’t have anything against New Zealand and was looking forward to working with New Zealand’s Defence Minister and ”enhancing capabilities".
“I think that relationship has been a very fruitful one for a very long time,” he said.
In an interview with NZME after the session, Fifield said she asked the question of Hegseth after noticing that New Zealand was missing from a list of countries he named that were doing well with their defence spending.
“I asked the question, so it’s my fault that we were called out by name,” Fifield said.
“I think the question actually underscored how the US is bullying a lot of countries and leaning on them to do this and not respecting the sovereign decisions of many of these countries,” she said.
Fifield said she did not think it was embarrassing for New Zealand; rather, she just thought it was blunt.
“Hegseth said with friends we can be blunt. So I’m sure that the New Zealand Government will take this in its stride,” she said.
Fifield said she was sitting behind Penk, so could not see his reaction to the criticisms from Hegseth. She said Penk spoke in the next session, where he talked about how New Zealand was stepping up and was “committed to doing our bit”.
Fifield said that, in her opinion, she did not think the Government would have social licence to increase defence spending to 3.5% of GDP.
“I think it’s a very, very big ask for the New Zealand Government to even think about such a thing,” she said.
Penk told NZME in a statement “It is clear that increases to New Zealand’s defence spending are needed following 35 years of under-funding.
“This year’s Budget continues New Zealand’s commitment to doubling our defence spend. In the past two budgets alone we have committed $5.8 billion of additional funding.
“New Zealand has a clear trajectory on defence spend. The government has said that this is a floor, not a ceiling, as our fiscal circumstances allow.
“When we released our Defence Capability Plan last year, we committed to reviewing it every two years so that innovation, new technologies, and emerging risks can be considered.
“The review also allows a staircase approach to investment, so we can adapt as the world around us changes. The US is a long-standing, important security partner for New Zealand. The current administration has been clear and consistent about its expectations of all partners. Its position is no surprise.
“The US has also recognised New Zealand’s stepped up contribution to security and stability in our region. I welcomed the opportunity to meet Secretary Hegseth today in Singapore where we discussed our close cooperation, and I look forward to continuing this partnership.”
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