President-elect Donald Trump’s latest demands of America’s NATO partners—that they cede territory to the U.S. and spend more on defense than Washington itself does—risk undermining allies’ confidence and potentially emboldening adversaries.

Trump's call for NATO states to increase defense spending would also call for a substantial increase in America's military budget.

European NATO members would struggle to increase defense spending to 5% considering the high social welfare bill in the continent. But analysts say Trump's demand could be a negotiating tactic to reach a compromise.

The Czech Republic said on Wednesday that it is open to spending more on defence, as demanded by US President-elect Donald Trump. "We are open to this debate," Prime Minister Petr Fiala said, emphasizing that money invested in defence was money well spent.

US President-elect Donald Trump said that NATO countries should be spending 5% of gross domestic product (GDP) on defence, up from the current 2% target. "They can all afford it, but they should be at 5% not 2%,

U.S. President-elect Donald Trump said on Jan. 7 that NATO should raise its defense spending benchmark from 2% of GDP to 5%, echoing his earlier calls for Europe to spend more on its security.