‘Like a bolt from the blue’: Israel’s president shocked by Trump announcing end of aid

Trump said the United States would end aid to Israel this year. He made the announcement in an Election Day phone interview with Fox News. The decision came two years before the formal end of the existing memorandum of understanding, or MoU.

Herzog said the news felt “like a bolt from the blue.” Israel had an agreement with Washington that was supposed to continue until 2028. He described the aid issue as a major national goal and said it made forming a government especially important.

Trump gave few details about how the change would work. He argued that Israel no longer needed the money and questioned why the United States should give it billions annually. Netanyahu had not publicly commented, while Ambassador Mike Huckabee said he was seeking clarification.

A memorandum of understanding, or MoU, is a formal written arrangement that records shared commitments between parties. It usually explains what each side intends to provide and the period covered. Unlike a casual announcement, it creates an agreed framework for cooperation.

The article says the US-Israel MoU was supposed to last until 2028. It provides Israel with $3.8 billion each year to purchase American weaponry. That gives Israel a basis for planning purchases and defense spending over several years.

Trump’s announcement would end aid this year, ahead of the MoU’s stated end date. The article does not explain the legal process for changing the agreement. It does show why Herzog was surprised: Washington appeared to be changing a major commitment before its scheduled conclusion.

The aid package is worth $3.8 billion per year. The money is designated for Israel to purchase American weaponry. That makes the arrangement both a financial commitment and a channel for buying equipment from US suppliers.

The agreement was formally expected to continue until 2028. Trump’s announcement would therefore end the assistance two years early. The article also describes the package more broadly as roughly $4 billion, but its specific figure for the annual MoU commitment is $3.8 billion.

The timing matters because Israel’s government was already being formed after an election. Herzog said the aid issue was one of the major goals requiring a government rather than repeated elections. The article does not state whether the aid would be replaced or what exact amount would remain available after this year.

Ending the aid early could reduce Israel’s ability to finance planned purchases of American weaponry. The immediate issue is not only the size of the money, but the loss of a scheduled funding stream. Defense planners use expected funding to organize purchases, budgets and military priorities.

For example, the MoU provides $3.8 billion annually through its planned 2028 end. If that money stops this year, Israel could need to delay purchases, find replacement funds or revise its spending plans. The article does not identify specific weapons or programs that would be affected.

The change could also complicate longer-term defense planning. Herzog called the aid issue a major goal and linked it to the need for a functioning government. The article gives no final details about implementation, and Huckabee said he was seeking clarification, so the practical impact remained uncertain.

Herzog connected the aid dispute to government formation because Israel needs a government to set priorities and respond to the funding change. He said forming one was a major goal and preferable to holding repeated elections. A functioning coalition would have political authority to negotiate budgets and policies.

The Knesset has 120 seats, and 61 are needed for a majority. A coalition reaching that threshold can support a government and its legislative agenda. The article says whoever receives the mandate will negotiate over cabinet posts, budgets and policies.

Eisenkot had backing from lawmakers holding 67 seats, while Netanyahu had only 46. However, 19 of Eisenkot’s supporting seats belonged to Arab-led parties, making his route to power complicated. Herzog said he would decide Sunday who could form a government, while Netanyahu would remain caretaker prime minister meanwhile.

Herzog must choose which candidate has the ability to form Israel’s next government. The consultations gave Eisenkot’s bloc backing from lawmakers holding 67 seats, compared with Netanyahu’s 46. But Herzog said the results were not completely decisive because he must judge governing ability under the law.

The chosen candidate gets 28 days to negotiate over cabinet posts, budgets and policies. A further 14 days is possible. If that candidate fails, the mandate passes to another candidate for another four weeks.

If the second candidate also fails, the Knesset receives a short opportunity to propose someone else. If it cannot, the country automatically returns to the polls. Until a new government is sworn in, Netanyahu remains caretaker prime minister. The article says Eisenkot’s party expected Herzog to give it the mandate.

Military aid can do more than help an ally buy weapons. It can strengthen a partnership, support shared security goals and give the donor influence over defense cooperation. These are established reasons countries provide assistance instead of relying only on commercial sales. The article does not list every US objective.

Aid can also help a donor’s own defense sector when the recipient buys the donor’s equipment. In this case, the MoU directs Israel’s $3.8 billion annual support toward American weaponry. Ambassador Mike Huckabee argued that Americans should focus on what they receive from the relationship, not only what they provide.

Huckabee said the partnership with Israel had benefited Americans every day. He defended military aid even as it became less popular in both parties. Trump argued that Israel no longer needed the money, while Vice President JD Vance linked the relationship to Republican midterm losses.