President Donald Trump has unveiled an unprecedented $1.5 trillion defence budget request for fiscal year 2027, marking the largest year‑on‑year increase in military spending since the end of the Second World War.

The Pentagon described the plan as a sweeping expansion of modern warfare capabilities, with a strong emphasis on missile defence, drones, artificial intelligence, and strengthening the defence industrial base.

Officials noted that the budget introduces a new category termed “presidential priorities,” which encompasses the Golden Dome missile defence system, drone dominance, AI and data infrastructure, and industrial capacity.

The proposal allocates $750 billion specifically for ships, aircraft, and the Golden Dome programme. On shipbuilding, more than $65 billion is earmarked to procure 18 warships and 16 support vessels under the “Golden Fleet” initiative, the largest such request since 1962.

Aircraft procurement and research and development will receive $102 billion, representing a 26% increase over the previous year.

This includes ramping up Lockheed Martin’s F‑35 production to 85 aircraft annually, funding for Boeing’s next‑generation F‑47 fighter jet, and $6.1 billion for Northrop Grumman’s B‑21 bomber.

Drone warfare and counter‑drone technology are another major focus, with $53.6 billion requested for autonomous platforms and warzone logistics, alongside $21 billion for munitions and advanced counter‑drone systems.

The Defence Autonomous Warfare Group, which previously operated on a budget of around $225 million, would see its funding surge to approximately $54 billion.

Officials clarified that most of this investment is directed at applying existing technologies rather than long‑range research, and confirmed that the group has absorbed the Pentagon’s earlier Replicator drone initiative.

The budget also proposes multi‑year procurement contracts for munitions programmes, intended to provide stability for both major defence firms and their smaller suppliers. Personnel measures include a pay rise weighted towards junior enlisted troops, with increases of 7% for the lowest ranks, 6% for mid‑level officers, and 5% for senior leadership.

The force is set to expand by 44,000 service members in 2027, following the addition of more than 20,000 in 2026.

Notably, the budget does not include funding for the ongoing conflict with Iran. Pentagon officials explained that the timing of the appropriations process means a supplemental request will be required to cover near‑term operational costs and replenishment needs.

The overall $1.5 trillion figure is divided between a $1.15 trillion base request and a $350 billion supplemental request, which will require passage of a reconciliation bill similar to the format used last year.

Reuters