The Israeli Ministry of Defense and the Trump administration have launched formal talks on a “new security cooperation framework” to replace the current U.S.-Israel memorandum of understanding on military aid upon its expiration in 2028, the ministry said in a statement on Friday. 

The Israeli team will be led by Defense Ministry Director-General Amir Baram and Israeli Ambassador to the U.S. Yechiel Leiter, while the U.S. team will be led by State Department counselor Daniel Holler and U.S. Ambassador to Israel Mike Huckabee.

The two sides held a formal inaugural meeting this week and have further discussions planned in both countries in the coming weeks, the ministry said, without specifying a timeline for when the talks might conclude. 

The new agreement, according to the statement, is designed to “strengthen the IDF’s qualitative military edge through expanded joint investment in research, development, and co-production” as well as “deepen the U.S.-Israel partnership demonstrated during [the Iran war].” 

The framework will also aim to “gradually transition from aid to a completely reciprocal relationship,” a goal Israeli Prime Minister Benjamin Netanyahu has championed in recent months. 

Earlier this week, Netanyahu told CNBC’s Sara Eisen that he wants to start winding down U.S. aid to Israel “in the last two years of the Trump administration,” suggesting he may also be looking to alter the terms of the current MOU, which guarantees Israel $3.8 billion annually in military aid through FY 2028.