China will raise its 2026 defence budget by 7%, slightly below the 7.2% increase set for 2025, according to an official government report reviewed by Reuters. The decision aligns with the country's ongoing military modernisation efforts and growing deployments across East Asia amid regional tensions.
President Xi Jinping has set a goal to complete this modernisation by 2035, with investments in advanced missiles, ships, submarines, and surveillance technologies. The announcement comes during a continuing anti-corruption crackdown within the military, which has seen senior generals Zhang Youxia and He Weidong face disciplinary action.
Analysts note that China's defence spending growth continues to outpace the rest of Asia. In 2025, China accounted for nearly 44% of total Asian military expenditure, up from an average of 37% between 2010 and 2020, highlighting its expanding role in regional security...