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Credit: Reuters/Michaela Rehle By David Alexander and Sebastian Moffett MUNICH | Sat Feb 4, 2012 8:32am EST MUNICH (Reuters) - U.S. Defense Secretary Leon Panetta reassured European allies on Saturday that Washington remains committed to their security despite an austerity drive, as NATO pushed for new ways for alliance members to maintain capabilities at lower cost. Panetta said the U.S. Army would still have about 37,000 soldiers in Europe even after it withdraws two of its four combat brigades - about 7,000 soldiers - as part of efforts to cut $487 billion from the defense budget over the next decade. "Our military footprint in Europe will remain larger than in any other region of the world," Panetta told a Munich security conference. "That's not only because the peace and prosperity of Europe is critically important to the United States, but because Europe remains our security partner of choice for military operations and diplomacy around the world. We saw that in Libya last year, and we see it in Afghanistan every day," he said. The conference, an annual gathering of foreign policy experts, this year featured much talk on how to maintain defense capabilities in the face of budget cuts, as many NATO members struggle with heavy sovereign debt. To remedy the problem, NATO last year called for "smart defense," meaning more efficient use of military budgets and a more open market for defense equipment. The European Union has been calling for the "pooling and sharing" of military resources. NATO Secretary-General Anders Fogh Rasmussen on Saturday proposed enhancing this with a "Connected Forces Initiative." This would help NATO allies' equipment and troops work together. "It's the ability to connect all our forces," he said. "Common understanding. Common command and control arrangements. Common standards. Common language. And common doctrine and procedures. It concerns everything we do as an alliance." Specifically, Rasmussen called for greater use of joint training centers, such as those in Poland and Norway, and encouraged the opening up of national facilities. He also wanted increased exercises, with a strengthened NATO Response Force (NRF) - a stand-alone military force available for rapid deployment. He gave the example of Denmark's use during NATO's Libya operation of F-16 planes bought from the United States, which were not capable of carrying French munitions. To fix the problem, a universal ammunition adaptor is now being tested, he said, "a bit like a plug adaptor for planes." Panetta pledged greater support for the NRF, saying the United States would rotate U.S.-based soldiers to Europe for training on a regular basis. He said one U.S.-based brigade would act as Washington's contribution to the response force. "The NRF was designed to be an agile, rapidly deployable, multinational force that can respond to crises when and where necessary," he said. "The United States has endorsed the NRF but has not made a tangible contribution due to the demands of the wars - until now." The United States has about 80,000 military personnel in Europe when Air Force, Navy and other troops are included. There are 28 U.S. military bases - 16 Army, 8 Air Force and 4 Navy. But U.S. lawmakers have been critical of Europe for low levels of defense spending. They have pressed for the withdrawal of American forces, saying it was time for the continent to shoulder more of the expense of defending itself. In June, outgoing U.S. Defense Secretary Robert Gates warned that Europe's declining defense capabilities presaged a "dim, if not dismal future for the transatlantic alliance." Last month, President Barack Obama announced a new strategy aimed a cutting defense spending over the next decade and shifting the United States' focus to the Asia-Pacific. (Reporting By David Alexander; Editing by Rosalind Russell) World Politics Tweet this Link this Share this Digg this Email Reprints We welcome comments that advance the story through relevant opinion, anecdotes, links and data. If you see a comment that you believe is irrelevant or inappropriate, you can flag it to our editors by using the report abuse links. Views expressed in the comments do not represent those of Reuters. For more information on our comment policy, see http://blogs.reuters.com/fulldisclosure/2010/09/27/toward-a-more-thoughtful-conversation-on-stories/ Comments (1) JamesChirico wrote: Edition: U.S. Africa Arabic Argentina Brazil Canada China France Germany India Italy Japan Latin America Mexico Russia Spain United Kingdom Back to top Reuters.com Business Markets World Politics Technology Opinion Money Pictures Videos Site Index Legal Bankruptcy Law California Legal New York Legal Securities Law Support & Contact Support Corrections Advertise With Us Connect with Reuters Twitter Facebook LinkedIn RSS Podcast Newsletters Mobile About Privacy Policy Terms of Use Copyright Our Flagship financial information platform incorporating Reuters Insider An ultra-low latency infrastructure for electronic trading and data distribution A connected approach to governance, risk and compliance Our next generation legal research platform Our global tax workstation Thomsonreuters.com About Thomson Reuters Investor Relations Careers Contact Us Thomson Reuters is the world's largest international multimedia news agency, providing investing news, world news, business news, technology news, headline news, small business news, news alerts, personal finance, stock market, and mutual funds information available on Reuters.com, video, mobile, and interactive television platforms. 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