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Israel Seeks New 10-Year Security Deal With US

Israel is preparing to negotiate a new 10-year security agreement with the United States, aiming to preserve close military cooperation while gradually reducing its reliance on direct US financial assistance, according to the Financial Times.

January 27, 2026Clash Report

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Israel is set to begin discussions with the Trump administration on a new long-term security deal with the United States, according to the Financial Times. The talks are expected to take place in the coming weeks and would shape bilateral military cooperation beyond the current agreement expiring in 2028.

Shift Away From Cash Grants

Gil Pinchas, who recently stepped down as chief financial adviser to Israel’s defence ministry, told the FT that Israel intends to prioritize joint military and defence projects rather than traditional cash-based aid.

“The partnership is more important than just the net financial issue,” Pinchas said, adding that cooperation in technology, defence development and strategic planning should be viewed as equal in value to direct funding.

Existing Aid Framework

Under the current memorandum of understanding signed in 2016, the United States committed $38 billion in military aid to Israel over 10 years. The package includes $33 billion in grants for purchasing US-made military equipment and $5 billion allocated for missile defence systems.

Pinchas said the annual $3.3 billion in direct military financing — often described as “free money” — could gradually decline under a new agreement.

Netanyahu Signals Long-Term Change

Israeli Prime Minister Benjamin Netanyahu has also indicated a desire to reduce dependence on US military aid. Earlier this month, he said Israel hopes to “taper off” its reliance on American assistance over the next decade.

US Response Pending

The US State Department did not immediately respond to a request for comment outside regular business hours. However, Israeli officials stress that the objective is not to weaken ties with Washington but to reshape the partnership toward deeper, project-based cooperation.