Japan plans record defense spending in 2022 with 10th straight annual increase

The budget for the fiscal year starting April 1 will rise 1.1 percent to 5.4 trillion yen ($47.18 billion), still less than a quarter of China's military budget this year according to official Beijing data.

The higher spending plan follows a meeting in April between U.S. President Joe Biden and Japan's then-premier Yoshihide Suga, in which Suga pledged to strengthen his country's defense capability in light of a more challenging regional security environment.

Big-ticket items in the draft budget include 128 billion yen for 12 Lockheed Martin Corp F-35 stealth fighters, four of which will be short take-off and vertical landing variants operating off converted helicopter carriers.

The defense ministry is also setting aside 86 billion yen in next year's budget to develop its first new domestic jet fighter in three decades. The project, expected to be completed in the 2030s, is being led by Mitsubishi Heavy Industries Ltd.

The ministry is also earmarking 34 billion yen to strengthen defenses against cyber attacks, and 79 billion yen for space-related projects, such as satellites and lasers to track targets beyond the atmosphere.

The draft budget still needs to pass parliament, where Kishida's ruling bloc holds a majority, for enactment.