Japan will increase military spending over the next five years in response to security challenges with China and North Korea, as well as to narrow its trade surplus with the U.S. by buying American equipment, the Nikkei business daily reported on 8 December.

Purchases of U.S.-made equipment could contribute to ease Japan’s trade friction with Washington (Picture source: U.S. Army)

The Japanese Ministry of Defense looks to spend at least 27 trillion yen ($240 billion) between April 2019 and March 2024, with the spending rising an average 1.1% per year, exceeding the 0.8% average during the five years ending next March, the report said. Currently, payments on equipment and personnel expenses account for 80% of defense spending, Nikkei said. Under the plan, funds for new equipment purchases will be separated from these expenses, making it easier to buy equipment from the United States, it added. Japan aims to have cabinet approval for the spending in mid-December, it said.

Purchases of U.S.-made equipment could contribute to ease Japan’s trade friction with Washington: President Donald Trump pushes Japan to buy more American goods, including military gear, while threatening to impose tariffs on Japanese auto imports to cut a trade deficit with Tokyo.

Beside that commercial aspect, Japan’s Ministry of Defense in August sought record spending of 5.3 trillion yen next year to help pay for major upgrades to defenses designed to shoot down any North Korean ballistic missile, which that Tokyo sees as a continued threat despite Pyongyang’s promise to abandon nuclear weapons. Prime Minister Shinzo Abe has been reinforcing Japan’s military to respond to any North Korea missile strike and counter China’s growing air and sea power in the waters around Japan.