Japan’s on Brink of Becoming World’s Third-Largest Military Spender

Japan’s Defense Ministry has asked for an unprecedented budget of 8.5 trillion yen ($59 billion) for the upcoming financial year as the nation faces growing military threats from China.

The proposed budget, which would be Japan’s largest ever, is part of its plans to bolster its defense capabilities, particularly in the southwestern islands, where tensions with Beijing are intensifying.

The proposal, which still needs to be submitted to the finance ministry for final approval, marks the third year of Japan’s ambitious five-year military expansion plan.

The government plans to allocate 43 trillion yen ($297 billion) by 2027, effectively doubling its annual defense spending to around 10 trillion yen.

This increase would position Japan as the world’s third-largest military spender after the U.S. and China.

Beijing has been ramping up its military presence in the region for some years.

Its incursions into the waters surrounding the disputed islands, known as the Senkaku Islands in Japan and Diaoyu in China, have become more frequent and have led to increased tensions in the area.

In response, Japan has been making efforts to strengthen its defenses, particularly around the East China Sea.

Around 970 billion yen ($6.7 billion) of the proposed budget has been earmarked for ramping up its strike-back capabilities.

This includes the development and acquisition of long-range missiles and the necessary launch systems, such as those on Aegis-class destroyers.

Japan also wants to establish a satellite constellation designed to improve missile detection capabilities, an increasingly critical need as North Korea, China, and Russia advance their hypersonic missile programs.

Tokyo is also investing heavily in unmanned systems and artificial intelligence. The budget proposal includes 103 billion yen ($710 million) for the development and procurement of drones for both surveillance and combat missions.

Additionally, 314 billion yen ($2.17 billion) has been requested to construct three new multipurpose compact destroyers, which will require fewer crew members than current models.

Japanese defense officials have described drones as a “game changer,” citing their potential to reduce human casualties and conduct extended missions. These technologies are seen as vital for a country grappling with demographic challenges, including an aging population and a shrinking workforce.

Recently, the country’s Self-Defense Forces (SDF) have struggled to meet their recruitment targets, filling only half the 19,598 positions needed last year—the lowest level in the SDF’s 70-year history.

The government attributes this a combination of declining birthrates and competition from the private sector, which offers more attractive salaries and benefits.

This article includes reporting from The Associated Press