China Increases Defence Spending by 7.2% in Time of Geopolitical Tension

China raised its defence spending by 7.2% for 2025 to about $249 billion. This year-on-year increase rate is reflective of Beijing's emphasis on upgrading its military capabilities, especially those with high technologies such as stealth fighter planes and aircraft carriers. The growth is fueled by escalating tensions in the South China Sea and Taiwan Strait, and competition with the U.S. in the Asia-Pacific region. China is still the world's second-largest spender on the military, behind only the U.S., despite economic woes.

 

Source: Tribune India, CNBC, Business Standard, Reuters