China is set to increase its defense spending by 7.2% in 2024, signaling a hardening stance on Taiwan, according to an official report released on Tuesday. Premier Li Qiang delivered the government report at the opening of the National People’s Congress (NPC), dropping the mention of “peaceful reunification” in favor of a firmer stance on Taiwan.
In the government work report, China reiterated its call for “reunification” with Taiwan but removed the term “peaceful,” indicating a potential shift towards a more assertive approach. This change in language is closely monitored as a possible sign of escalating tensions between China and Taiwan.
Under President Xi Jinping’s leadership, China has significantly increased its military budget, more than doubling it over the past 11 years. The budget hike mirrors last year’s rate and exceeds the Chinese government’s economic growth forecast for the year.
Tensions over Taiwan have intensified as regional military deployments have increased. China considers Taiwan a part of its territory and has been increasingly assertive in asserting its claim.
Despite economic challenges, Taiwan remains a key consideration in Beijing’s defense spending. Li Mingjiang, a defense scholar at the Rajaratnam School of International Studies (RSIS) in Singapore, noted that China aims to bolster its military capabilities to prepare for potential conflict over Taiwan.
China’s defense budget has surged from 720 billion yuan in 2013 to 1.67 trillion yuan ($230 billion) in 2024 under President Xi’s leadership. The growth in military spending has consistently outpaced annual domestic economic growth targets.
According to the International Institute for Strategic Studies (IISS), China’s defense budget has increased for the 30th consecutive year. The largest portion of the budget is allocated to the purchase of new equipment as part of China’s modernization drive, set to be completed by 2035.
China has been developing a range of advanced weaponry, including warships, submarines, drones, and missiles, capable of carrying both nuclear and conventional warheads.
In July 2023, China’s Central Military Commission initiated a “clean-up” of the procurement process and investigated irregularities. Several generals, including those directly responsible for procurement, have been removed from their positions, indicating a crackdown on corruption.
Taiwan’s Mainland Affairs Council called on China to acknowledge the equal status of both sides and urged for healthy cross-strait exchanges. Taiwan’s defense minister announced plans to increase missile drills in response to escalating tensions with China.
As China strengthens its military capabilities and adopts a more assertive stance on Taiwan, regional dynamics in East Asia are likely to face heightened uncertainty, raising concerns about potential conflict in the region.