Japan proposes record defense budget to boost AI and hypersonic missile capabilities

Japan's Ministry of Defense is proposing a record-high defense budget of approximately 9 trillion yen (roughly $57 billion to $60 billion) for the 2027 fiscal year. The proposal aims to enhance national defense capabilities and long-term combat readiness by focusing on emerging warfare technologies.

Key priorities include the development of artificial intelligence (AI) decision-support systems for the Joint Operations Command, upgraded cloud computing, and unmanned aerial vehicles. A significant component of the plan involves increasing the long-range strike capabilities of the submarine fleet through the development of hypersonic missiles launched from underwater.

The Ministry is also considering new structural approaches, such as establishing a mechanism for the government to acquire equipment manufacturing facilities and then delegating production and management to private companies. Additionally, a new unit may be formed to oversee international cooperation policies.