The US Department of Defense has announced significant cuts aimed at what it deems “wasteful” spending, totaling $5.1 billion. This initiative, highlighted by Pentagon chief Pete Hegseth, specifically targets funding for climate change efforts and diversity initiatives, signaling a shift in priorities under the current administration.
In a notable move, President Donald Trump has outlined a broader strategy to slash government expenditures, appointing Elon Musk—recognised as the world’s richest individual—to lead a new initiative dubbed the Department of Government Efficiency (DOGE). Hegseth indicated that DOGE would have extensive authority to dismantle various programs introduced by the prior administration.
Just last month, the Pentagon made waves by canceling $580 million in expenditures, effectively terminating a range of grants related to climate change and Diversity, Equity, and Inclusion (DEI) initiatives. In a recent video address, Hegseth provided further details, revealing that the Department of Defense (DoD) is scrapping “eleven contracts for DEI, climate, COVID-19 response, and related non-essential activities.” He firmly stated, “We’re signing a memo right now directing the termination of $5.1 billion in DOD contracts, not million.”
Among the contracts being cut are those for consulting services from private firms linked to the Defense Health Agency and an IT services contract for cloud computing solutions. The DoD is also freezing over $500 million in funding to Northwestern University and Cornell University, which Hegseth has critiqued for allegedly tolerating anti-Semitism and backing divisive DEI programs.
The Pentagon is operating under a substantial budget for 2025, pegged at approximately $850 billion. Earlier in the year, Hegseth distributed a memo instructing plans to reduce the budget by eight percent annually over the next five years. If fully actualized, these cuts could lower the budget by tens of billions, bringing it down to around $560 billion by the end of this timeframe.
Hegseth has vehemently expressed a resolve to abandon “woke, Biden-era, non-lethal programs,” advocating instead for an allocation of resources aligned with Trump’s “America First” stance and focused on “peace through strength.” This significant restructuring of the DoD’s financial commitments reflects a broader ideological transition within the department, prioritizing traditional defense values over what the current leaders perceive as ineffective and progressive spending strategies.
