China to Increase Defence Spending by 7.2% in 2025

BEIJING, 5 March 2025 (BSS/AFP) – China’s defence budget is set to rise by 7.2 per cent in 2025, maintaining the same growth rate as the previous year, according to an official government document reviewed on Wednesday.

The budget expansion comes amid Beijing’s ongoing military modernisation and intensifying strategic competition with the United States. Despite possessing the world’s second-largest military budget, China’s defence spending remains significantly lower than that of the United States, which remains its primary geopolitical rival.

According to the government report, China will allocate 1.78 trillion yuan ($245.7 billion) for defence expenditure this year—still less than a third of Washington’s defence budget. The steady increase in military spending aligns with China’s long-term economic growth and strategic ambitions.

Context & Additional Information:

China’s military expansion includes advancements in naval power, aerospace technology, and missile capabilities, with a particular focus on securing its interests in the South China Sea and the Taiwan Strait. In recent years, Beijing has also prioritised artificial intelligence, cyber warfare, and space-based military assets, further strengthening its strategic position in the Indo-Pacific region.