MAKING THE BEST OF IT: At the exact moment Defense Secretary Mark Esper was earnestly insisting that the sudden departure of 12,000 American troops from Germany was part of his monthslong review of the U.S. military’s global commitments, his boss, President Trump, was on the White House lawn undercutting the Pentagon’s cover story.
Having no choice but to salute smartly and execute the president’s orders, Esper portrayed the move of a squadron of F-16s to Italy, the return of 6,400 troops to the United States, and the relocation of the entire U.S. European Command headquarters next door to Belgium as moves designed to “strengthen NATO” and “enhance the deterrence of Russia,” not to punish Germany.
Esper argued the redeployments would base forces closer to the Black Sea region, where they would be “better capable of conducting dynamic force employments and rotational deployments to NATO’s southeastern flank,” and that co-locating headquarters with NATO military command in Mons, Belgium, would increase efficiency.
‘WE DON’T WANT TO BE THE SUCKERS ANYMORE’: While Esper was briefing reporters at the Pentagon, Trump was across the river making clear the troop withdrawals were solely about his longtime beef with Germany for not spending enough on its own defense.
“They’re there to protect Europe; they’re there to protect Germany,” Trump said of the troops he ordered withdrawn. “Germany is supposed to pay for it. Germany is not paying for it. So why should we leave them if they were not? We don’t want to be the suckers anymore.”
Germany is one of 19 NATO nations that have not yet met a goal to increase overall defense spending to 2% of GDP by 2024. But Trump sees the wealthy nation as the worst offender.
“We’re reducing the force because they’re not paying their bill. It’s very simple: They’re delinquent. Very simple,” Trump said, while in the same breath indicating he could change his mind if his strong-arm tactics force a change. “We spend a lot of money on Germany. They take advantage of us on trade, and they take advantage on the military, so we’re reducing the force. Now, if they start paying their bills, I could rethink about — I would think about it.”
OH, THE IRONY: Germany, which has the world’s fourth-largest economy after the U.S., China, and Japan, spends more on defense ($54 billion) than any other NATO nation except for the U.S. ($740 billion) and the United Kingdom ($60 billion).
But Germany’s percentage of defense spending remains below 2% in part because its $4 trillion GDP is so high, and perversely, the Pentagon is now moving its troops and headquarters to Belgium and Italy, two countries that spend far less on defense — both in dollars and as a percentage of GDP, according to NATO statistics.
“Abruptly pulling 12,000 troops out of Germany (to put half of them in countries who spend LESS on defense) doesn’t make sense financially, hurts NATO solidarity overall, and is a gift to Putin,” former Supreme NATO commander retired Adm. James Stavridis told the Washington Examiner.
“Germany is the wealthiest country in Europe. Germany can and should pay more to its defense. It should certainly meet the 2% standard and, I would argue, go above and beyond that,” Esper said yesterday. “And I’ve said that very publicly, I’ve said that very privately to my counterparts as well, about the importance of NATO, any alliance, sharing the burden so that we can all deter Russia.”
Related: “Germany’s economy, Europe’s largest, took a massive hit during the pandemic shutdowns, shrinking by 10.1% … during the April-June period from the previous quarter,” the Associated Press reports this morning.
UNTOLD BILLIONS: The relocation of thousands of troops, and moving the headquarters of the U.S. European Command from the historic Patch Barracks in Stuttgart, Germany, will cost billions of dollars, but the Pentagon has no idea how many billions.
“The secretary said single-digit billions, but those are rough estimates,” said Joint Chiefs Vice Chairman Gen. John Hyten at yesterday’s briefing. “What we have right now is really a concept, a concept that we’ve shared with our allies, shared with the Congress, and we’ve shared inside the department fairly widely. We now have to turn it into plans,” he said. “Then, we’ll lay in the costs.”
“I would like to see the national security argument about why we should be spending finite defense resources right now to move headquarters around,” said Bradley Bowman, a senior military analyst with the Foundation for Defense of Democracies. “I mean, the threats that we confront from Beijing and Moscow and others are so severe, we need to make maximum use of every defense dollar, and moving a headquarters around with questionable military analysis behind those moves strikes me as not the best use of our finite resources right now.”
CONGRESS CAN BLOCK IT: While some troops will begin moving within weeks (6,400 are to return to the U.S., where some will be sent back to Germany on a rotational basis), other changes will take much longer, even years, when it comes to moving headquarters. The Pentagon plan includes the eventual relocation of the U.S. Africa Command as well as the European Command and their component Special Operations Commands.
At some point, the Pentagon will need money for military construction and for moving thousands of troops and their families. Depending on the final version of the National Defense Authorization Act that emerges from the conference committee, there could be legislative hurdles that would delay the big moves until after the November election.
The House version of the NDAA already includes a prohibition on the use of DOD funds to reduce U.S. forces stationed in Germany without six months notice, and there is significant opposition to the plan, even among Republicans in Congress.
Utah Sen. Mitt Romney offered an amendment to the Senate version of the NDAA that would have blocked a U.S. troop withdrawal while reaffirming support for Germany, but it failed to get a vote on the Senate floor. Romney called the Trump plan “a grave error” and “a slap in the face at a friend and ally.”
“It is a gift to Russia coming at a time when we just have learned of its support for the Taliban and reports of bounties on killing American troops,” Romney said in a statement. “The move may temporarily play well in domestic politics, but its consequences will be lasting and harmful to American interests.”
Good Thursday morning and welcome to Jamie McIntyre’s Daily on Defense, written and compiled by Washington Examiner National Security Senior Writer Jamie McIntyre (@jamiejmcintyre) and edited by David Sivak and Tyler Van Dyke. Email here with tips, suggestions, calendar items, and anything else. Sign up or read current and back issues at DailyonDefense.com. If signing up doesn’t work, shoot us an email and we’ll add you to our list. And be sure to follow us on Twitter: @dailyondefense.
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HAPPENING TODAY: The Senate Armed Services Committee will question this morning Anthony Tata, who is Trump’s pick to be undersecretary of defense for policy, essentially the No. 3 civilian at the Pentagon. Tata, a retired one-star Army general, has been a vigorous defender of the president on Fox News, where he is a contributor, but he has come under fire from Democrats and civil rights groups for some of his past public statements.
“Anyone nominated to be a high-ranking Pentagon official must be qualified and also a person of high character whose record is consistent with the values of our country and those of the U.S. military. Nominees should see the value diversity, inclusion, and unity bring to our institutions. Unfortunately, your history of public remarks does not meet this standard,” wrote a group of Democrats, led by Massachusetts Sen. Elizabeth Warren, in a letter calling on Tata to withdraw and resign. “Your record of offensive and inflammatory comments disqualifies you from serving in your current position and the position for which you have been nominated.”
THE CHARGES: “In 2018, Tata publicly made inflammatory remarks on Twitter, including that Islam is the ‘most oppressive violent religion I know of,’ and that the 2015 Iran nuclear agreement ‘alone is more than enough evidence of [former President Barack Obama’s] drive to subvert US national interests to Islam and a globalist agenda.’ He called President Obama a ‘terrorist leader’ and alleged that the former president ‘made no secret of his belief that a weaker America made for a stronger world,” wrote the 10 senators, all Democrats except for independent Sen. Bernie Sanders.
“Brigadier General Tata reserved further dishonorable and disqualifying rhetoric for members of Congress as well, claiming that Speaker Nancy Pelosi and Congresswoman Maxine Waters ‘have always been the same violent extremists’ and referred to Congresswoman Waters in particular as a ‘vicious race baiting racist,” the letter alleges.
Sen. Kevin Cramer of North Dakota is the only Repulican to threaten to vote against Tata, but it is over a separate issue entirely.
ALSO TODAY: Pentagon Chief Information Officer Dana Deasy briefs reporters at 8:30 a.m. to discuss COVID-19 telework posture, and at 2:15 p.m., Pentagon spokesman Jonathan Hoffman, Maj. Gen. Lee Payne, and Brig. Gen. Paul Friedrichs give a briefing on the work of the Pentagon’s coronavirus task force. Livestream at Defense.gov.
‘NEVER REACHED MY DESK’: Trump continues to question the uncorroborated intelligence suggesting Russia paid the Taliban to kill U.S. troops in Afghanistan as “fake news.”
In an interview with Jonathan Swan for Axios on HBO, Trump said he never even broached the subject with Vladimir Putin in a phone call with the Russian president a week ago. “That was a phone call to discuss other things, and frankly, that’s an issue that many people said was fake news,” Trump told Swan. “I have never discussed it with him.”
But despite the fact that the Pentagon has been aware for years that Russia has been supporting the Taliban with money and weapons, Trump said the intelligence has never reached his desk. Here’s an excerpt of that part of the interview:
Swan: John Nicholson, former head of forces in Afghanistan, said — and this is when he was working for you — that Russia is supplying weapons to the Taliban. Isn’t that enough to challenge Putin over the killings of U.S. soldiers?
Trump: Well, we supplied weapons when they were fighting Russia too.
Swan: You surely heard that, right? I mean, it’s well known in the intelligence community that they are arming the Taliban, Russia.
Trump: I don’t know. When you say arming, is the Taliban paying, or are they giving them?
Swan: Russia is supplying weapons and money to the Taliban.
Trump: I have heard that, but it’s never reached — again, it’s never reached my desk.
The full interview airs on HBO on Monday, Aug. 3, at 11 p.m.
MILLEY’S TESTIMONY 3 WEEKS AGO: In testimony before the House Armed Services Committee July 9, Joint Chiefs Chairman Gen. Mark Milley, who served three tours as a commander in Afghanistan, said, “We’ve known for years that the Russians have been involved for their own national security in Afghanistan. And the Russians are not our friends, and their involvement is worrisome, and we monitor it closely and we take the appropriate actions.”
“It’s not just Russia — there’s many other countries that are influencing various actors in Afghanistan. And they’re influencing them with training, money, weapons, propaganda, and international support and a lot of other things,” he testified. “Russia’s one of those countries that’s been doing that for years.”
ARCTIC COORDINATOR: The State Department has appointed Jim DeHart as the U.S. coordinator for the Arctic region.
“Serving as the principal advisor to the Secretary and the Deputy Secretary on all Arctic matters, DeHart will lead and coordinate the Department’s policy-making and diplomatic engagement on Arctic-related issues to advance U.S. interests in the region related to safety and security, sustainable economic growth, and cooperation among Arctic States to support and strengthen the rules-based order in the region,” said the announcement.
INDUSTRY WATCH: Boeing posted a bigger-than-expected quarterly loss yesterday, blaming the downturn on the coronavirus pandemic and the grounding of its troubled 737 MAX jetliner. The aerospace giant reported a negative cash flow of $5.3 billion on revenue of $11.8 billion. Boeing shares fell 3% on the news.
“The diversity of our balanced portfolio and our government services, defense and space programs provide some critical stability for us in the near-term as we take tough but necessary steps to adapt for new market realities,” said Boeing President and CEO Dave Calhoun in a statement.
General Dynamics yesterday reported second quarter 2020 net earnings of $625 million on revenue of $9.3 billion.
“We have continued to operate throughout the COVID-19 pandemic, meeting our customers’ needs while keeping our people as safe as possible,” said Phebe Novakovic, chairman and CEO. “We are focused on the basics of early and aggressive cost management, performance and cash conversion as we manage through this period.”
Northrop Grumman announced its second quarter 2020 financial results this morning. The company reported second quarter 2020 sales increased 5% to $8.9 billion from $8.5 billion in the second quarter of 2019. Second quarter 2020 net earnings increased 17% to $1 billion.
“Northrop Grumman delivered a strong second quarter, reflecting the resiliency and dedication of our workforce, customers and suppliers. Together, we quickly adapted to challenging conditions with new processes and safeguards,” said Kathy Warden, chairman, CEO, and president. Webcast at 9 a.m. here.
Lockheed Martin released its second quarter results last week.
The Rundown
Washington Examiner: Head of U.S. Southern Command weighs in on regional threats from China and Russia
Washington Examiner: Politics out of space, nominee for Space Command tells senators
Washington Examiner: ISIS releases video calling on supporters to carry out arson attacks in US
Washington Examiner: Pentagon to remove 12,000 troops from Germany to meet Trump demand
Washington Examiner: Australia aligns with US to counter Chinese economic and military coercion
Politico: New Pentagon Training Refers To Protesters, Journalists As ‘Adversaries’
McClatchy: Officials Dispute Trump’s Claim That Military Is Preparing COVID Vaccine Distribution
New York Times: 4 Hong Kong Activists Arrested for Online Posts Under New Security Law
Wall Street Journal: Report Sheds Light on China’s Use of Military-Linked Researchers
Reuters: As Japan Weighs Missile-Defence Options, Raytheon Lobbies For Lockheed’s $300 Million Radar Deal
Military.com: Russia And China Are Catching Up On Hypersonic Missiles Amid U.S. Neglect, Expert Says
AP: Joining the conflict in Libya, Turkey sees economic gains
AP: U.S. Slaps Sanctions On Syrian President’s Eldest Son
Bloomberg: India Adds 35,000 Troops On China Border As Tensions Simmer
Air Force Magazine: Companies Big and Small Gear Up For ABMS Bid
Asia Times: Marines To Test ‘Super Powered’ Exoskeleton Suit
Military.com: These Marines Just Published A How-To Guide On Hiding From Enemy Drones
Futurism.com: Marine Corps Bans Service Members From Mining Bitcoin On Military Devices
Air Force Magazine: Space Force Boss’s Office Staffs Up
AP: Iran launches underground ballistic missiles during exercise
Business Insider: The 11-Carrier U.S. Navy Is Mocking Iran As ‘Experts’ At Making A Dummy Aircraft Carrier To Shoot At
The Capital: Naval Academy Buildings Named For Confederate Sailors Could Be Renamed Under Defense Act
New York Times: No Longer in Shadows, Pentagon’s U.F.O. Unit Will Make Some Findings Public
Calendar
THURSDAY | JULY 30
8:30 a.m. — Department of Defense Chief Information Officer Dana Deasy holds a virtual press briefing to discuss COVID-19 telework posture, and digital modernization and transformation efforts in support of the National Defense Strategy. Livestream at Defense.gov.
9 a.m. — Northrop Grumman Corporation announces second quarter 2020 financial results on its investor relations website. http://investor.northropgrumman.com
9 a.m. — Center for Strategic and International Studies webcast: “The U.S.-Republic of Korea Alliance and Inter-Korean Relations,” with former South Korean deputy national security adviser and Vice Minister of Foreign Affairs Cho Taeyong. https://www.csis.org/events/online-event
9 a.m. — Abolition 2000 webinar: “100 Seconds to Midnight: What Does this Mean? What Can We Do?” with Rachel Bronson, president and CEO of the Bulletin of Atomic Scientists; John Hallam, director of People for Nuclear Disarmament; Aaron Tovish, executive director of Zona Libre; and Manpreet Sethi, fellow at the New Delhi Center for Air Power Studies’s Nuclear Security Project. http://www.abolition2000.org/en
9:30 a.m. G50 Dirksen — Senate Armed Services Committee confirmation hearing on the nomination of Anthony Tata to be undersecretary of defense for policy. https://www.armed-services.senate.gov/hearings/20-07-30-nomination_tata
9:30 a.m. — Atlantic Council virtual discussion: “Khabarovsk rising: Protests in Russia’s Far East,” with Vladimir Milov, economic adviser to Russian opposition leader Navalny; former U.S. Ambassador to Ukraine John Herbst, director of the Atlantic Council Eurasia Center; and Maria Snegovaya, post-doctoral fellow at the Johns Hopkins University School of Advanced International Studies and adjunct fellow at the Center for European Policy Analysis. https://www.atlanticcouncil.org/event/khabarovsk-rising
10 a.m. — Heritage Foundation webinar: “Designing the Marine Corps for Future War: Necessity or Madness?” with retired Marine Corps Lt. Col. Frank Hoffman, fellow at National Defense University; and retired Marine Corps Col. Mark Cancian, senior adviser in the Center for Strategic and International Studies’ International Security Program. https://www.heritage.org/defense/event/virtual-event
11 a.m. — The Mitchell Institute for Aerospace Studies Nuclear Deterrence Forum with Adm. Charles Richard, commander, U.S. Strategic Command. https://www.mitchellaerospacepower.org/aerospace-nation
11:30 a.m. — Woodrow Wilson Center Polar Institute webcast: “The European Union and the Arctic,” with European Union Ambassador at Large for the Arctic Michael Mann; Terkel Petersen, senior adviser on Arctic matters at the European External Action Service; and Michael Sfraga, director of the WWC Polar Institute. https://www.wilsoncenter.org/event/european-union-and-arctic
1 p.m. 2118 Rayburn — House Armed Services Intelligence and Emerging Threats and Capabilities Subcommittee hearing on “Review of the Recommendations of the Cyberspace Solarium Commission,” with Sen. Angus King, I-Maine, chairman of the Cyberspace Solarium Commission; Rep. Mike Gallagher, R-Wis., chairman of the Cyberspace Solarium Commission; former Rep. Patrick Murphy, D-Pa., commissioner of the Cyberspace Solarium Commission; and Frank Ciffullo, commissioner of the Cyberspace Solarium Commission. http://www.armedservices.house.gov Livestream at https://www.youtube.com/watch
2:15 p.m. Pentagon Briefing Room 2D972 — Assistant to the Secretary of Defense for Public Affairs Jonathan Hoffman; Air Force Maj. Gen. Lee Payne, Defense Health Agency assistant director for combat support; and Air Force Brig. Gen. Paul Friedrichs, medical advisor to the Department of Defense Coronavirus Task Force, brief the media on COVID-19 testing. Livestream at Defense.gov.
7 p.m. — Politics and Prose Bookstore book discussion webcast on “To Start a War: How the Bush Administration Took America into Iraq,” with author Robert Draper, writer at large for the New York Times Magazine. https://www.politics-prose.com/event/book
FRIDAY | JULY 31
10 a.m. — Center for Strategic and International Studies webcast: “Building Diversity and Combating Prejudice in our Armed Forces,” with Rep. Anthony Brown, D-Md. https://www.csis.org/events/online-event
11 a.m. — Center for Strategic and International Studies webcast: “The Indo-Pacific and the U.S. Army,” with Army Chief of Staff Gen. James McConville. https://www.csis.org/events/online-event-indo-pacific
1 p.m. — Woodrow Wilson Center Polar Institute and Kennan Institute webcast: “Realism in the Arctic,” with former U.S. Ambassador to Georgia Kenneth Yalowitz; Ross Virginia, fellow in the WWC Polar Institute; Matthew Rojansky, director of the WWC Kennan Institute; and Michael Sfraga, director of the WWC Polar Institute. https://www.wilsoncenter.org/event/realism-arctic
No time given — Air Force Association Mitchell Institute for Aerospace Studies Space Power Forum conversation with NASA Administrator Jim Bridenstine.
TUESDAY | AUGUST 4
9 a.m. — Center for a New American Security “Virtual Fireside Chat,” with Defense Secretary Mark Esper, moderated by Susanna Blume, senior fellow and director of the CNAS Defense Program. https://cnas.zoom.us/webinar/register
10 a.m. — Association of the U.S. Army’s Thought Leaders webinar with L. Scott Lingamfelter, author of Desert Redleg: Artillery Warfare in the First Gulf War. Advance registration is recommended. https://info.ausa.org/e/784783/ar-Series-L-Scott-Lingamfelter
THURSDAY | AUGUST 6
9:30 a.m. — Air Force Chief of Staff Gen. David L. Goldfein formally retires and is replaced by incoming Chief of Staff Gen. Charles Q. Brown Jr. The ceremony can be viewed at www.af.mil/live.
QUOTE OF THE DAY
“That was a phone call to discuss other things, and frankly, that’s an issue that many people said was fake news. … I have never discussed it with him, no.”
President Trump in an interview with “Axios on HBO” Tuesday, in response to a question about whether he raised the topic of alleged Russian bounty payments to the Taliban in a phone call with Vladimir Putin last week.