In response to growing concerns over China's increasing military threat, Japan's Defense Ministry has requested a record 8.5 trillion yen ($59 billion) budget for the next year. The ministry aims to fortify its deterrence capabilities on southwestern islands while focusing on bolstering unmanned weapons and artificial intelligence (AI) to compensate for the country's declining population of servicemembers.

This budget request, approved at the Defense Ministry meeting on Friday, marks the third year of Japan's five-year military buildup plan under its ongoing security strategy. As part of this plan, Japan aims to spend a total of 43 trillion yen ($297 billion) through 2027, effectively doubling its annual military spending to around 10 trillion yen. If achieved, Japan would become the world's third-largest military spender after the United States and China.

The hefty 970 billion yen ($6.7 billion) portion of the 2025 budget request will focus on enhancing strike-back capabilities. This includes the development and purchase of long-range missiles and equipment for their launch, such as from an Aegis-class destroyer. Additionally, approximately one-third of the budget will be allocated towards a satellite constellation aimed at improving missile detection capabilities, as countries like North Korea, China, and Russia develop harder-to-detect hypersonic missiles.

Acknowledging the ongoing challenge of shrinking troop numbers, Japan is prioritizing the development and procurement of drones for surveillance and combat, requesting 103 billion yen ($710 million). The Defense Ministry is also seeking 314 billion yen ($2.17 billion) to build three new multi-purpose compact destroyers that require a smaller crew size of 90 members, less than half of the current requirement.

Japanese defense officials consider combat drones as "game changers" due to their ability to undertake long-duration missions and reduce human losses in combat. As Japan grapples with an aging and shrinking population, these unmanned weapons are seen as a main pillar of the country's ongoing military buildup.

Additionally, the Defense Ministry recognizes the need to address the declining recruitment of servicemembers. The Self-Defense Force (SDF) has struggled to maintain its troop levels, with only half of last year's recruiting target of 19,598 fulfilled. Moreover, the SDF experienced the highest number of mid-career personnel leaving in 30 years, highlighting the challenges of attracting young applicants in recent times.

In an effort to adapt to these challenges, the ministry has requested 18 billion yen ($124 million) to introduce an AI surveillance system at 40 SDF bases nationwide, with the aim of freeing up 1,000 service personnel. Additionally, 4.3 billion yen ($29.7 million) has been requested for automated supply storage set to launch in 2027 in Okinawa.

The ministry has also emphasized the need for reforms to improve salary, working environments, training opportunities, and support for working mothers in order to attract more women to the SDF. This comes in the wake of revelations of sexual assaults, harassment, abuse of power, and corruption scandals within the ministry, which were criticized for cover-up attempts and a lack of accountability among supervisors.

With the budget request now submitted to the Finance Ministry for negotiations throughout December, Japan remains determined to bolster its defense capabilities against China's rising threat. The country seeks to strike a delicate balance between military buildup and addressing the challenges posed by a declining population and changing societal dynamics.