Acting Defense Secretary Patrick Shanahan denied Thursday that the Trump administration is considering charging U.S. allies the full cost of hosting American troops on their soil, plus a 50 percent surcharge.
Shanahan was responding to a question from Sen. Dan Sullivan, R-Alaska, about reports that the White House had directed staffers to develop a plan to demand higher compensation for the protection provided by U.S. military forces.
“Senator, we won’t do cost plus 50 percent,” Shanahan said during his testimony on the Pentagon’s budget before the Senate Armed Services Committee.
“So those reports in the press, all over the press, are incorrect?” asked Sullivan.
“They’re erroneous,” Shanahan said.
Last week, Bloomberg, based on what it said were conversations with a dozen administration officials, reported that “under White House direction, the administration is drawing up demands that Germany, Japan and eventually any other country hosting U.S. troops pay the full price of American soldiers deployed on their soil — plus 50 percent or more for the privilege of hosting them.”
Shanahan dismissed the report but said the United States does want allies to pay their fair share.
“We’re not going to run a business and we’re not going to run a charity,” said Shanahan. “The important part is that people pay their fair share, and payment comes in lots of different forms. It could be contributions, like in Afghanistan, but at the end of the day, people need to carry their fair share.”
