The Defense Ministry plans to seek a record ?8.9 trillion in its budget request for fiscal 2027, up from ?8.85 trillion for the current fiscal year, as Japan seeks to expand its capabilities.
The planned outlay, however, is likely to swell further in a draft government budget to be adopted at year-end, because the budget request will include many measures whose costs are not specified ahead of a planned revision of the country¡¯s three key security-related documents this year.
According to government and ruling camp sources, the budget request, due by the end of this month, will be based on three pillars: preparing for new ways of warfare utilizing artificial intelligence and other technologies, ensuring sustained operational capabilities in a prolonged conflict and strengthening defense industrial bases.
In addition to costs to produce unmanned attack drones capable of long-distance flights, expenses to develop long-range submarine missiles will be included in the budget request as part of efforts to enhance the country¡¯s counterattack capabilities to strike enemy bases.
The ministry is also expected to seek spending for the establishment of a new agency to support retired Self-Defense Forces members and their families, along with the addition of three bureaus, including one responsible for international policy.
In 2022, Prime Minister Fumio Kishida¡¯s administration set the total defense spending for the five years through fiscal 2027 at about ?43 trillion.
Under the administration of Prime Minister Sanae Takaichi, the fiscal 2025 defense spending reached about ?11 trillion, including related expenses, achieving the government¡¯s target of raising its defense expenditures to 2% of Japan¡¯s gross domestic product two years ahead of schedule.
However, U.S. President Donald Trump¡¯s administration has urged Japan to raise its defense spending to at least 3.5% of GDP.
Those calls have cast a spotlight on a new defense spending target that the Takaichi government is expected to set in the upcoming revision of the three documents ¡ª the National Security Strategy, the National Defense Strategy and the Defense Buildup Program.
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