U.S. proposes $1 trillion defence budget for 2026

U.S. proposes $1 trillion defence budget for 2026

The budget includes $848.3 billion for the discretionary budget and $113.3 billion in mandatory funding through congressional reconciliation.

President Donald Trump has proposed a $1.01 trillion national defence budget request for fiscal year 2026.

The U.S. Department of Defence said the request represented a 13.4 per cent increase from fiscal year 2025.

The budget includes $848.3 billion for the discretionary budget and $113.3 billion in mandatory funding through congressional reconciliation.

The department said, “This historic defence budget prioritises strengthening homeland security” and “deterring Chinese aggression in the Indo-Pacific.”

It stated that the budget also prioritised “revitalising the defence industrial base and maintaining our commitment to being good stewards of taxpayer dollars.”

The department added that the 113 billion dollars in mandatory reconciliation funding would address the president’s priorities. These include shipbuilding, missile defence, munitions production and quality-of-life initiatives for the nation’s warfighters.

Divided across the department, the proposed budget breaks down to $ 197.4 billion for the Army, $ 292.2 billion for the Navy, $ 301.1 billion for the Air Force, and $ 170.9 billion defensewide.

In addition to materials (military materials and equipment), the budget also addressed military readiness and training, as well as quality-of-life improvements for service members and their families.

“At nearly $160 billion, the FY26 budget request funds DOD readiness to a historic high to meet the planned employment of forces,” the department said.

It added that the budget also included a 3.8 per cent pay raise and a $5 billion investment in unaccompanied housing for service members. The proposal also recommended some notable reductions, including the department’s cancellation of its E-7 Wedgetail early warning and control aircraft programme due to what it described as “survivability concerns in a contested environment.”

The department also stated the budget recommendations included reducing procurement of the F-35 Lightning II stealth strike fighter from 74 to 47 aircraft. At the same time, increased funding would go toward modernisation of the jet’s capabilities.

Additionally, approximately one billion dollars was allocated for investment in spare parts to address the F-35’s sustainment and readiness challenges.