Dec. 26 (UPI) — The Japanese government on Friday approved a record $58 billion defense budget for the 2026 fiscal year amid worsening diplomatic tensions with China.
The allocation is 9.4% more than budgeted for defense in 2025 and is a new record for defense spending when the new fiscal year starts in April.
The funds will help pay for cruise missiles and unmanned defense systems as Japan enters the fourth year of its five-year plan to bolster its military, Newsweek reported.
During that time span, Japan is investing about 2% of its annual gross domestic product to modernize its military with state-of-the-art equipment, including drones.
It also demonstrates a significant shift in Japan’s defensive priorities after spending relatively little on national defense for several decades.
The new spending will bolster Japan’s land, sea and air coastal defenses with unmanned assets and a greater ability to attack enemies from beyond their respective ranges, according to The Japan Times.
Japan is building up its Synchronized, Hybrid, Integrated and Enhanced Littoral Defense drone system that commonly is referred to as SHIELD.
“This system will enable Japan to adopt new warfare methods, firmly protect the lives of personnel and halt enemy invasions of islands at the coastline,” Japanese Defense Minister Shinjiro Koizumi told media.
The system is slated to go into service in 2027 and will provide Japan with an ample supply of “inexpensive unmanned aerial, surface and underwater vehicles” that can be used to attack enemy targets and conduct reconnaissance.
A large quantity of relatively affordable drones is available from the United States, Australia, Turkey and other nations.
Japan also is improving its counterstrike capabilities with better anti-ship missiles and intends to acquire hypersonic missiles that can fly five or more times faster than the speed of sound.
Such improvements would improve Japan’s ability to strike enemy targets from a long distance and more effectively deter potential aggression against the island nation.