Trump said he wants to raise the US military budget by 50% in 2027
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- Trump wants to spend $1.5 trillion on the US military in 2027.
- He said that the raised budget would secure the country during "very troubled and dangerous times."
- The budget would be financed from "tremendous" tariff revenue, he said on Truth Social.
President Donald Trump says the US will be spending a lot more on the military next year.
Trump said in a Truth Social post on Wednesday that he had decided to raise the US's military budget in 2027 from $1 trillion to $1.5 trillion.
"This will allow us to build the 'Dream Military' that we have long been entitled to and, more importantly, that will keep us SAFE and SECURE, regardless of foe," Trump said.
He said that the larger budget would be financed by the tariffs he has imposed on almost all countries, and would secure the US during "very troubled and dangerous times."
Trump said in the post that tariff income was so "tremendous" that even after allocating $1.5 trillion to the military budget, the US would still be able to pay off its debts and pay dividends to "moderate income" Americans.
Trump's proposed military budget is significantly higher than the budget approved by Congress for defense spending in 2026: $901 billion. The 2027 budget increase must be approved by Congress.
Trump's post about raising the military budget followed another post targeted at defense contractors. He criticized firms like Raytheon for issuing large dividends to shareholders, doing stock buybacks, and offering "exorbitant" pay packages to executives.
The president prohibited these companies from doing so until they pour more investments into manufacturing plants and equipment.
Stock prices for defense companies saw boosts in after-hours trading on Wednesday following Trump's announcement of a larger military budget. Raytheon's stock rose nearly 4% and Lockheed Martin's rose more than 6%.
The post came after the US military conducted a raid on Venezuela last week and captured the country's President Nicolás Maduro and his wife, who are now being prosecuted in New York. Trump threatened Colombia, Cuba, and Mexico with similar military intervention.