President Donald Trump called for defense spending to be raised to $1.5 trillion, a 50% increase over the current budget. <\/p>\n
‘After long and difficult negotiations with Senators, Congressmen, Secretaries, and other Political Representatives, I have determined that, for the Good of our Country, especially in these very troubled and dangerous times, our Military Budget for the year 2027 should not be $1 Trillion Dollars, but rather $1.5 Trillion Dollars,’ Trump wrote on Truth Social Thursday evening. <\/p>\n
‘This will allow us to build the ‘Dream Military’ that we have long been entitled to and, more importantly, that will keep us SAFE and SECURE, regardless of foe.’ <\/p>\n
The president said he came up with the number after tariff revenues created a surplus of cash. He claimed the levies were bringing in enough money to pay for both a major boost to the defense budget ‘easily,’ pay down the national debt, which is more than $38 trillion, and offer ‘a substantial dividend to moderate income patriots.’<\/p>\n<\/p>\n
The boost likely reflects efforts to fund Trump\u2019s ambitious military plans, from the Golden Dome homeland missile defense shield to a new ‘Trump class’ of battleships.<\/p>\n
The Committee for a Responsible Federal Budget found that the increased budget would cost about $5 trillion from 2027 to 2035, or $5.7 trillion with interest. Tariff revenues, the group found, would cover about half the cost \u2014 $2.5 trillion, or $3 trillion with interest. <\/p>\n
The Supreme Court is expected to rule in a major case Friday that will determine the legality of Trump\u2019s sweeping tariff strategy.<\/p>\n<\/p>\n
In 2026, the defense budget is expected to breach $1 trillion for the first time thanks to a $150 billion reconciliation bill Congress passed to boost the expected $900 billion defense spending legislation for fiscal year 2026. Congress has yet to pass a full-year defense budget for 2026.<\/p>\n
Some Republicans have long called for a major increase to defense spending to bring the topline total to 5% of GDP, as the $1.5 trillion budget would do, up from the current 3.5%.<\/p>\n
Trump has ramped up pressure on Europe to increase its national security spending to 5% of GDP \u2014 3.5% on core military requirements and 1.5% on defense-related areas like cybersecurity and critical infrastructure.<\/p>\n
Trump\u2019s budget announcement came hours after defense stocks took a dip when he condemned the performance rates of major defense contractors. In a separate Truth Social post, he announced he would not allow defense firms to buy back their own stocks, offer large salaries to executives or issue dividends to shareholders. <\/p>\n
‘Executive Pay Packages in the Defense Industry are exorbitant and unjustifiable given how slowly these Companies are delivering vital Equipment to our Military, and our Allies,’ he said. <\/p>\n
‘\u200bDefense Companies are not producing our Great Military Equipment rapidly enough and, once produced, not maintaining it properly or quickly.’<\/p>\n
He said that executives would not be allowed to make above $5 million until they build new production plants.<\/p>\n
Stock buybacks, dividends and executive compensation generally are governed by securities law, state corporate law and private contracts, and cannot be broadly restricted without congressional action.<\/p>\n
An executive order the White House released Wednesday frames the restrictions as conditions on future defense contracts, rather than a blanket prohibition. The order directs the secretary of war to ensure that new contracts include provisions barring stock buybacks and corporate distributions during periods of underperformance, non-compliance or inadequate production, as determined by the Pentagon.<\/p>\n<\/p>\n
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President Donald Trump called for defense spending to be raised to $1.5 trillion, a 50% increase over the current budget. ‘After long and difficult negotiations with Senators, Congressmen, Secretaries, and other Political Representatives, I have determined that, for the Good of our Country, especially in these very troubled and dangerous times, our Military Budget for […]<\/p>\n","protected":false},"author":1,"featured_media":2304,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5],"tags":[],"class_list":["post-2303","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-politics"],"_links":{"self":[{"href":"https:\/\/bravemoneyminds.com\/index.php\/wp-json\/wp\/v2\/posts\/2303","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/bravemoneyminds.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/bravemoneyminds.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/bravemoneyminds.com\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/bravemoneyminds.com\/index.php\/wp-json\/wp\/v2\/comments?post=2303"}],"version-history":[{"count":0,"href":"https:\/\/bravemoneyminds.com\/index.php\/wp-json\/wp\/v2\/posts\/2303\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/bravemoneyminds.com\/index.php\/wp-json\/wp\/v2\/media\/2304"}],"wp:attachment":[{"href":"https:\/\/bravemoneyminds.com\/index.php\/wp-json\/wp\/v2\/media?parent=2303"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/bravemoneyminds.com\/index.php\/wp-json\/wp\/v2\/categories?post=2303"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/bravemoneyminds.com\/index.php\/wp-json\/wp\/v2\/tags?post=2303"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}