US defense budget exceeds $1 trillion amid rising military tensions with China

In July 2025, the United States proposed an unprecedented $1.01 trillion budget to support national defense for the fiscal year 2026. This budget represents a significant 13.4% increase from the previous fiscal year (FY2025) and includes a mix of mandatory and discretionary spending. A considerable portion, $961 billion, is designated for the Department of Defense, with allocations for the Army, Navy, and Air Force. The Army is projected to receive $197.4 billion, while the Air Force is earmarked for $301.1 billion, including $40 billion for the Space Force. This budget request aims to enhance the nation’s military capabilities amid increasing concerns over China's expanding military operations in the Pacific region, including joint drills near Japan and significant naval maneuvers in international waters. It has been reported that Chinese military forces are growing more assertive and provocative, which has led to calls for a stronger U.S. military response. The proposed budget includes funding for new initiatives such as the Golden Dome missile defense program and modernization efforts for the nuclear triad. Increasing military funding reflects the reality of rising geopolitical tensions, with the U.S. aiming to deter aggression through enhanced readiness. However, there are concerns within the military that budget constraints will tighten service branches’ operational capabilities, prompting a re-evaluation of funding priorities across the defense sector. The fiscal year concludes on September 30, and lawmakers will need to approve the budget to reflect the U.S. commitment to adapting to emerging global security challenges.