Trump Administration Requests Extraordinary $1.5 Trillion Defense Budget

After years of bipartisan failures to devote sufficient resources to defense, the Trump administration requested an extraordinary 44 percent increase in defense spending in its roughly $1.5 trillion Fiscal Year (FY) 2027 defense budget proposal on Tuesday. That topline number is split between $1.1 trillion in base defense discretionary budget authority and an additional $350 billion that would require passage of a separate mandatory so-called “reconciliation” bill. 

These resources would help maintain and strengthen U.S. military readiness by beginning to replace munitions expended in the war with Iran, modernizing U.S. forces, expanding capacity, and bolstering deterrence. That is vital as China and North Korea strengthen their militaries, Russia continues its war against Ukraine, the Iranian regime’s threats to American interests persist, and all four Axis of Aggressors states increase their cooperation.

Urgently Needed Munitions and Interceptors

The budget requests an extraordinary $52.9 billion for “Critical Munitions,” including increasing procurement of 12 key munitions, which the Pentagon identified as one of its “top priorities.” A failure to purchase sufficient quantities of munitions has resulted in insufficient production capacity and inventories for key munitions. Low production capacity increases the time needed to rebuild U.S. stockpiles after large expenditures. This issue is especially acute following recent expenditures of key munitions such as Precision Strike Missiles (PrSM) and Joint Air-to-Surface Missiles(JASSM) against Iran.

The budget also requests procurement of significant numbers of air defense interceptors including SM-6s, as well as interceptors for THAAD and Patriot systems. U.S. forces employed large numbers of these interceptors during Operation Epic Fury, reducing inventories to concerning levels. The budget also requests $67.9 billion for missile defense capabilities. Priority areas include the Next Generation Interceptor program, Aegis Ballistic Missile Defense, and the SM-3 Block IIA and IB. The IIA missiles are “designed to defeat midcourse and intercontinental ballistic missile (ICBM) threats,” whereas the IBs are “designed to defeat short- to intermediate-range ballistic missiles.”

In addition to missile defense, the budget requests $20.6 billion for counter-unmanned systems. U.S. forces face growingthreats from short-range first-person view (FPV) drones and long-range one-way attack drones, such as the Iranian Shahed-136. The Pentagon should urgently procure capable drone defenses at scale while working with partners that have valuable battlefield knowledge, such as Ukraine, to ensure U.S. forces can adapt to evolving threats.

Bolstered Air and Maritime Power

The budget also seeks major investments in American air and naval power. The $102.2 billion allocation for air power includes funding to boost the Air Force’s fourth-generation F-15EX fleet, increase procurement of fifth-generation F-35s, and continue investment in sixth-generation fighter development. The budget would also dedicate $6.1 billion for the B-21 next-generation strategic bomber, an essential component of America’s future nuclear triad.

The budget also provides a roughly 23 percent increase for the Navy, funding the acquisition of 34 ships and 123 aircraft. The Navy’s FY 2027 $65.8 billion request for shipbuilding would procure a Columbia-class submarine, two Virginia-class submarines, and only one Arleigh Burke-class destroyer, as well as other amphibious and landing ships needed for expeditionary operations in the Pacific. The budget also requests funds for a frigate as part of the Navy’s larger effort to “procure a new small surface combatant ship” and investment for the “BBG(X) Battleship,” both of which are programs that have generated congressional questions and risk drawing finite funds and shipbuilding capacity away from other requirements that are more important and better suited to countering China.

The Ball Is in Congress’s Court

With the president’s budget request now released, Congress should work to pass the annual defense authorization and appropriations bills before the end of the current fiscal year. The habitual reliance on continuing resolutions delays the start of new programs, wastes money, and risks depriving U.S. forces of the resources they need to counter rapidly growing threats. While funding for defense through the reconciliation process is better than not receiving that funding at all, Congress should press the Trump administration to request future funding in its base defense budget request, which provides greater certainty to the Pentagon and industry.

Ryan Brobst is the deputy director of the Center on Military and Political Power (CMPP) at the Foundation for Defense of Democracies, where Cameron McMillan is a research analyst and Bradley Bowman is the senior director. For more analysis from the authors and CMPP, please subscribe HERE. Follow Ryan @RyanBrobst_ on X and Brad @Brad_L_Bowman. Follow FDD on X @FDD and @FDD_CMPP. FDD is a Washington, DC-based, nonpartisan research institute focusing on national security and foreign policy.