Rising Tensions Prompt Call for Increased Military Spending in Asia

Rising Tensions Prompt Call for Increased Military Spending in Asia

Pete Hegseth, another influential member of the defense community in the U.S., was urging Asian countries to step up their own military expenditures. Easily dismissed as lame fearmongering, his warning is that they are under an “imminent” threat from China. Speaking at our recent Transforming Transportation conference, he underscored the growing bipartisan momentum within the U.S. capitol. Indeed, this support is propelling us to greater collaboration with the Indo-Pacific region. Hegseth’s comments are made against the backdrop of climbing security fears, pushing up defense budgets of various Asian nations.

Per usual, during his speech Hegseth prioritised the idea that Asian countries need to be more responsible for managing regional conflicts. He noted the increasing military budgets. Specifically, a new report from the International Institute for Strategic Studies has found Asia is in the midst of a historic boom in defense spending. The follow-up report gravely noted an increase in defense spending by these countries. Even together, they spend less than 1.5% of their GDP on defense each year.

Hegseth sought to position today’s defense requirements alongside the last administration’s focus on rebuilding military readiness. He recalled how his predecessor Donald Trump’s administration pressed European allies to increase their defense budgets. So, he recommended applying the same strategy to Asia. “As allies share the burden, we can increase our focus on the Indo-Pacific, our priority theatre,” he stated.

Hegseth cited remarks from French President Emmanuel Macron during the conference. He warned that these comments have grave implications for U.S. credibility in the eyes of our allies. Macron pointed to an instability that is developing around the new uncertainty of where the U.S. commitment lies. In response, Hegseth argued that “an alliance cannot be ironclad if in reality or perception it is one-sided.”

Highlighting the strategic context, Hegseth took a swipe at China’s absence from the conference, stating, “We’re here this morning and, notably, someone else isn’t.” He stressed that the U.S. has no plan to coerce Asian countries into adopting preferred policies or political systems. Rather, the aspiration is cooperative action in pursuit of mutual benefit to create security and economic opportunity.

In his remarks, Hegseth was clear about the challenges posed by China, stating, “There’s no reason to sugar coat it. The threat China poses is real, and it could be imminent.” He underscored that deterrence requires investment and urgency: “Deterrence doesn’t come on the cheap … time is of the essence.”

Hegseth expressed respect for China and its civilization, emphasizing that “we do not seek conflict with Communist China. We will not seek to instigate, subjugate or humiliate China.” He firmly stated, “We will not be pushed out of this critical region.”

Hegseth didn’t stop at foreign affairs, discussing domestic priorities such as rebuilding the U.S. military and stopping unregulated immigration at the border. He reiterated plans regarding strategic assets such as the Panama Canal, indicating a broader vision for U.S. influence and partnerships.

“It has to be clear to all that Beijing is credibly preparing to potentially use military force to alter the balance of power in the Indo-Pacific.” – Pete Hegseth

As conversations around military aid ramp up, Hegseth’s comments are evidence of much more troubling sentiments among key U.S. officials about the changing security landscape in the region. And Asian nations are increasing their defense spending at an unprecedented rate. This indicates they understand the long-term strategic competition they face and are willing to pivot toward a new geopolitical reality.

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