The Defense Ministry said Thursday that it is seeking its largest ever budget — more than ¥7.7 trillion — as Japan looks to revamp the Self-Defense Forces with a new joint headquarters to command its three branches, two new Aegis-equipped destroyers and a munitions stockpile that will allow the country to fight a protracted conflict.
The budget request, a roughly 12% hike over the record ¥6.82 trillion last year, signals that Japan remains committed to following through on historic defense reforms instituted in December amid the war in Ukraine and growing security threats from China and North Korea.
Last year, Prime Minister Fumio Kishida instructed his government to aim for a defense budget equal to 2% of gross domestic product by 2027, using the country’s new National Security Strategy (NSS) and National Defense Program to outline a five-year spending plan of around ¥43 trillion ($315 billion).
The latest budget request includes ¥10.5 billion in funds associated with building the SDF’s permanent joint headquarters. Ministry officials say they plan to launch the new command — which will be in Tokyo’s Ichigaya area, where the ministry is located, and staffed by around 240 officials — by March 2025.
In the NSS, Japan laid out plans to establish the joint command “in order to build a system capable of seamlessly conducting cross-domain operations at all stages from peacetime to contingency, with the aim of strengthening the effectiveness of joint operations” among each of the SDF services.
The headquarters will be tasked with coordinating strategies and boosting Japan's defense cooperation with the U.S. military, and will be overseen by a joint commander, a newly created position that will report directly to Japan's defense minister, ministry officials said. The post will be filled by a general of the same rank as the chiefs of staff of the SDF’s three branches.
Defense Ministry officials have long lamented the difficulties of responding quickly to changing situations under the current system of creating a temporary joint task force, as well as insufficient coordination between the SDF and the U.S. Indo-Pacific Command, which oversees American military operations in the region.
The need for a permanent joint command, defense officials and analysts say, has only grown amid rising concerns over Chinese military assertiveness near Taiwan and North Korean nuclear saber-rattling.
In its budget request, the ministry is also looking to hasten the introduction of domestically made long-range missiles, following Japan’s decision to acquire “counterstrike capabilities” that theoretically allow it to hit far-away enemy bases and other sites, though the government has highlighted the deterrence effects of the capabilities.
The outlays include funds for extending the range of the Type-12 anti-ship missile from 200 kilometers to around 1,000 km and eventually to 1,500 km, as well as cash for developing high-speed glide weapons to defend Okinawa Prefecture’s far-flung southwestern islands, including those near Taiwan.
The ministry is also seeking ¥380 billion to build two new Aegis-equipped destroyers intended to help offset the land-based Aegis Ashore missile defense system that was scrapped in 2020 over technical and safety concerns. The first ship is expected to be commissioned in 2027 and the second the following year, the ministry said.
¥75 billion has also been requested for the joint development of the Glide Phase Interceptor — a missile defense program designed to destroy incoming hypersonic weapons during their unpowered phase of flight, after launch and before terminal phase. That weapon is expected to eventually be fitted on Aegis vessels.
Additionally, the ministry is requesting around ¥407 billion to secure critical munitions that keep Japan in the fight in the event of an emergency and ¥595 billion for strengthening their rapid deployment and civil protection capabilities.
This includes funds for transportation assets such as ships and helicopters, as well as the formation of a new joint Self-Defense Forces “Maritime Transport Group” to improve deployment and evacuation capabilities in the southwest islands area.
Kishida, Defense Minister Yasukazu Hamada and other defense officials have stressed the importance of the area, especially after China fired five ballistic missiles into nearby waters during exercises around Taiwan last year and following Russia’s invasion of Ukraine.
The prime minister has also repeatedly warned that “Ukraine today may be East Asia tomorrow” — comments widely seen as a veiled reference to China’s designs on self-ruled Taiwan, which Beijing views as part of its territory.
In its NSS — in which Tokyo labeled Beijing its “greatest strategic challenge" — Japan also cited concern over China’s “intensified coercive military activities around Taiwan,” reflecting just how seriously it is taking contingency planning, not only in terms of strengthening its regional deterrence capabilities and defense posture but also in preparing for a potential conflict over Taiwan.
Robert Ward, Japan Chair at the International Institute for Strategic Studies think tank, said “maintaining the budget commitment is a clear way to signal the government’s seriousness about delivering on” Japan’s historic defense reforms.
He said that setting up the joint headquarters, in particular, “is critical for Japan’s cross-domain operational capabilities and to Japan’s ability to contribute to the security alliance with the U.S.,” he said, noting that it will simplify chains of command.
“There is also an important ‘counterstrike capability’ angle here, given that the missile systems will be deployed across the Ground, Maritime and Air Self-Defense Forces,” Ward said.
“I think the urgency again reflects an understanding of the need to deliver on the ambitious goals for defense reform, which also demand organizational change as well as acquiring new ‘kit.’”
With your current subscription plan you can comment on stories. However, before writing your first comment, please create a display name in the Profile section of your subscriber account page.