Japan’s Cabinet on Friday approved a record defense budget exceeding 9 trillion yen ($58 billion) for fiscal year 2026, aiming to strengthen its strike-back capability and coastal defense amid growing regional tensions with China.

The proposed budget, which begins in April, represents a 9.4% increase from 2025 and is part of Japan’s ongoing five-year plan to double defense spending to 2% of gross domestic product. Defense Minister Shinjiro Koizumi described the increase as the minimum required to address “the severest and most complex security environment in the postwar era,” while emphasizing that Japan remains committed to peace.

The plan allocates over 970 billion yen ($6.2 billion) to expand “standoff” missile capabilities, including the purchase of Type-12 surface-to-ship missiles with a range of 1,000 kilometers. Japan also plans to deploy unmanned air, sea, and underwater drones for coastal surveillance and defense under a system called “SHIELD,” with initial reliance on imported technology.

The budget comes amid heightened tensions over Taiwan and increasing Chinese military activity near Japan, including aircraft carrier drills near southwestern islands. Japan will open a new office to monitor China’s operations in the Pacific.

Japan also plans joint development of next-generation fighter jets with Britain and Italy and research on AI-operated drones. If approved by Parliament, the defense budget would make Japan the world’s third-largest military spender after the U.S. and China.

Source : AP