What's inside Trump's proposed $1.5 trillion defence budget? Here's a list of key spending areas

US President Donald Trump on Friday unveiled a $1.5 trillion defence budget request for the next fiscal year, while also seeking dramatic cuts to domestic projects. If approved, this budget will mark the largest year-on-year increase in military spending since the end of World War II, Reuters reported.

The budget proposal comes as the war with Iran enters its fifth week, placing growing financial strain on Washington. Since the conflict began, the United States has spent over $40 billion, with roughly $11.3 billion spent in the first six days alone and expenditures continuing at about $1 billion per day, according data tracked by Iran Cost Ticker.

Key spending areas

Trump's proposed $1.5 trillion defence budget outlines major increases in several key areas within the US Department of War, with a strong focus on military capabilities, research, and operational readiness, according to a report by Politico.

• Procurement: A major portion of the funding, about $156 billion , is earmarked for procurement, which includes the purchase of weapons systems, military equipment, aircraft, ships, and other hardware needed by the armed forces.
• RDT&E: Another $125 billion is intended to be spent on research, development, testing, and evaluation. The funding would support the development of advanced military technologies.
• Operations and maintenance: The budget also aims to allocate around $48 billion for operations and maintenance, which covers the day-to-day running of the US military forces.
• Revolving and management funds: Another $19 billion is proposed for revolving and management funds, which are used to finance internal defence department services such as supply chain operations, and other administrative functions that support military activities.
• Family housing: The plan also includes $2 billion for military family housing, aimed at maintaining residential places for service members and their families.
• Military construction: A comparatively smaller allocation of $407 is expected to be made for military infrastructure projects, which may fund new bases, facility upgrades, or other construction-wise improvements.

Why does Trump want to increase the budget?

The Trump administration plans to utilize the funds to bolster weapons production aimed at deterring Chinese aggression in the Indo-Pacific region. Additionally, the plan also expects to rebuild weapons stocks depleted by conflicts in Israel, Iran and Ukraine, Reuters reported.

However, Democrats quickly made it clear on Friday that they are unlikely to support the president’s proposal, raising objections to the scale of defence spending alongside steep cuts in budgets of domestic programmes, Politico reported.

Major targets of the administration’s proposed spending reductions are environmental programs across many federal agencies. Among the largest reductions is the elimination of about $15 billion in grants that support programmes such as renewable energy technology development, and another $4 billion in transportation funds for programs supporting infrastructure to charge electric vehicles.

Lawmakers have particularly criticized the White House's plan to reduce non-defence spending by 10%, and a reduction of $73 billion from federal programs outside the military, even as the budget calls for a massive increase in funding for the Pentagon, the report stated.

The budget request will be debated in Congress in the coming weeks and months, according to Reuters. If approved, it would become a landmark shift in US defence spending priorities.

(with wire inputs)