The decision came after Iraq failed to agree to legal immunity for a small residual force the United States had hoped to keep in the country to train the army and counter the influence of neighboring Iran, officials said.
After nearly nine years, the deaths of more than 4,400 US troops, tens of thousands of Iraqis and the expenditure of hundreds of billions of dollars, Obama said the last American soldier would leave with his head held high.
"Today I can report that, as promised, the rest of our troops in Iraq will come home by the end of the year. After nearly nine years, America's war in Iraq will be over," Obama said at the White House.
"I can say that our troops in Iraq will definitely be home for the holidays," said Obama, who rose to power in opposing the unpopular Iraq war and pledged as a presidential candidate to withdraw all US troops.
Obama's predecessor George W. Bush invaded Iraq in 2003, arguing that its then leader Saddam Hussein was endangering the world with weapons of mass destruction programs. After Saddam was toppled, such arms were never found.
US troops soon became embroiled in a bitter insurgency, swelled by incoming Al-Qaeda fighters, and the tide of the war only turned when now retired General David Petraeus convinced Bush to mount a troop surge strategy.
Obama made the announcement after holding a video conference with Prime Minister Nuri al-Maliki, which US officials said included a moving tribute by the Iraqi leader to US troops who died in his country.
US defense officials said talks on a future US military mission had collapsed over the question of legal protections for American troops.
"That is a red line for us," said one official, who spoke on condition of anonymity."
Obama said that despite the failure, US defense officials would still seek ways to help train Iraqi forces, as they do for many other nations.
The president's announcement to end the war in Iraq fulfilled a central promise of his 2008 election campaign, which took place at a time when the Iraq war was still a painful fault line in US politics.
It also came after his credentials as commander-in-chief, bolstered by the killing of Osama bin Laden and top Al-Qaeda suspects, were further enhanced by the death of Moamer Kadhafi after a NATO mission in support of Libyan rebels.
But Republican presidential candidate Mitt Romney accused Obama of presiding over an "astonishing failure to secure an orderly transition in Iraq" which put at risk victories won through the sacrifice of American soldiers.
"The unavoidable question is whether this decision is the result of a naked political calculation or simply sheer ineptitude in negotiations with the Iraqi government," he said.
"The American people deserve to hear the recommendations that were made by our military commanders in Iraq."
The US withdrawal provokes a number of questions about Iraq's future, including:
-- Are the Iraqi military and security forces up to the job of safeguarding security gains made over recent years?
-- How will Iran seek to expand its influence in Iraqi politics?
-- Is Iraq's fledgling political system robust enough to survive?
-- Will disputes between Kurdistan and Baghdad drive a deeper wedge between the autonomous region and the central government?
Obama administration officials declined to say whether the war had been worthwhile.
"History is going to have to judge that," said Vice President Joe Biden's national security advisor Tony Blinken, who argued that vibrant politics in Iraq would be part of the US legacy.
Maliki, who Obama invited to the White House in December, said in a brief statement that he and Obama were on the same page on the withdrawal.
"The two points of view of the two leaders were the same, of the necessity of beginning a new phase of strategic relations after carrying out the withdrawal at the specified date at the end of the year," he said.
The 39,000 remaining US troops in Iraq must withdraw by the end of the year under an accord between the two countries reached during the Bush administration.
Obama placed the withdrawal from Iraq in the context of efforts to transfer responsibility for security to Afghan forces and the stepped-up US battle against Al-Qaeda in Yemen and Pakistani tribal areas.
"I would note that the end of war in Iraq reflects a larger transition. The tide of war is receding," he said.
COMMENTS (13)
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@ MarkH No point left for any argument but yes america lost and lost trillions $ too and Bush legacy the world will remember as making world more unsafe and dangerous.
Even if it happened flawlessly, the troops would be pulled out at what some would see as a mid-point. There never has been a plan to take Iraq and make it part of the US. Iraq wasn't perfect going in, it won't be going out. It's impossible to put it back in the hands of Iraqis without problems still existing. Whatever your opinion on the matter, the only way for it to come out improved is to make an attempt at colonizing it. It was always a fact, albeit one people didn't want to point out, that upon leaving Iraq with the removal of Saddam it would take Iraq back to a starting point that the new Iraqis in charge would have mold to their desired image. Really, it's like wiping a slate clean but leaving the name though that is more simplistic than appropriate. But, in general that was always how it was going to end. It's just a really hard thing to make into a flashy headline or morale boosting speech. People will say the same of Afghanistan, and still, will conveniently ignore the point. Both had the goal that would bring it to a starting point. What every single person would describe as a victory would be the US colonizing those countries. Sad fact is, sticking around is just about caring. The US could have said success and left completely. Instead, they've stuck around to try and not be that cold. You could say the US should leave now if that's the case. Fact of the matter is, the US isn't there to get praised by Pakistan. It's for the Afghans. In the end: neither venture was a failure. it's the helping after the fact due to a feeling of responsibility that hasn't been going well. I also already know the typo filled gibberish responses or the simple "nuh uh you're wrong I'm right" one liners will be incoming. But, in advance, I never have taken those the description fits seriously enough to really care much.
Next Stop - Iran
i keed i keed!
These globalists and Illuminatis have destroyed United States. A great country with great constitution was designed to be a republic and they tried to turn it into an Empire. 10 years of wars, over a million people dead, down 10 trillion dollars, what have we accomplished? Had we spend 10T on the world, there wouldnt be any poor left. It is really sad, sad story! I am quite certain those who planned all this do not care for the United States and still planning more wars...sad sad...
Better late than never. The unjust war started by Bush and his conservative Republicans would finally come to an end. Iraq never attacked the US, the Saudi nationals did. Finally Obama is fulfilling his promise before his first election, a year before the next. The other promise is to exit from Afghanistan, let us hope he fulfills that as well.
@ Raj.....you left it incomplete.......aana lay lay jung na kar
I wonder when he will deliver the victory speech, similar to what Bush did couple of years ago but eventuality retracted his own statement.
Yes after killing over a million Iraqis and failing to produce a single weapon of mass destruction, the last American soldier can leave Iraq with his head held high!
USA has to open new warfronts nin Iran and Pakistan, that is why it is pulling out its troops out of Iraq to deploy them elsewhere. High Alert!
This has to be one of the dumbest wars in history
yes, you can leave Iraq now having made it safe as hell.
Mission "destroy and mess up Iraq and Iraqis" accomplished.