China Increases Defense Budget by 7.2% to $245 Billion
China has announced a 7.2% increase in its annual defense budget, bringing total military expenditure to over $245 billion. This significant boost highlights China’s ongoing efforts to modernize its military capabilities across various domains, including land, air, sea, nuclear, space, and cyber warfare. The increased spending positions China as the second-largest military spender globally, following the United States.
Comparative Defense Spending
China’s defense budget now stands at more than three times that of India, which is approximately $79 billion. The widening gap between the two nations’ military expenditures underscores China’s focus on strengthening its armed forces at an accelerated pace. Meanwhile, the United States continues to have the largest defense budget, allocating over $900 billion this year.
Strategic Implications
China’s ongoing military modernization aims to expand its influence and deter potential interventions, particularly in the Taiwan Strait and the Indo-Pacific region. In addition, its growing military strength reinforces its territorial claims, including those in the South and East China Seas and along the 3,488-kilometer Line of Actual Control (LAC) with India. While there have been some disengagements in contested border areas, concerns remain regarding the complete withdrawal of Chinese troops from key locations, particularly in eastern Ladakh.
Calls for Increased Indian Defense Spending
The sharp rise in China’s defense expenditure has intensified discussions in India regarding the need to increase its military budget. Many defense experts have advocated for raising India’s defense allocation to at least 2.5% of its Gross Domestic Product (GDP), up from the current 1.9%, to ensure credible deterrence against both China and Pakistan. A senior military official emphasized the urgency of addressing operational gaps, stating, “There are several operational voids in our military capabilities that need to be urgently plugged.”
Challenges in Indian Military Modernization
Despite India’s efforts to strengthen its armed forces, a significant portion of its defense budget is allocated toward salaries, pensions, and operational maintenance of its over 1.4-million-strong military personnel. As a result, only about 25% of the budget is available for modernization, leading to shortages in key areas such as fighter aircraft, submarines, helicopters, advanced air defense systems, and night-fighting capabilities.
Air Force Capabilities
The Indian Air Force (IAF) currently operates with 30 fighter squadrons, each comprising 16-18 jets, which falls short of the sanctioned strength of at least 42.5 squadrons. This shortfall is further compounded by delays in the production of indigenous fourth-generation Tejas fighters. In contrast, China has deployed its most advanced fifth-generation J-20 stealth fighters at airbases near the Indian border and is reportedly developing sixth-generation prototypes. Additionally, China is expected to supply at least 40 J-35A fifth-generation jets to Pakistan, shifting the regional air power balance.
Nuclear Capabilities
Reports indicate that China is rapidly expanding its nuclear arsenal, with over 600 operational warheads currently in place. Projections suggest this number could surpass 1,000 by 2035, further enhancing China’s strategic capabilities and altering the security landscape in the region.
China’s decision to increase its defense budget to over $245 billion reflects its ambition to strengthen its military dominance across multiple domains. This expansion presents strategic challenges for neighboring countries, particularly India, reinforcing the need for enhanced defense preparedness in an evolving global security environment.
