U.S. President Donald Trump has proposed an $892.6 billion defense and national security budget for 2026. The plan includes major investments in high-tech missiles and drones, along with a 3.8% pay raise for troops. At the same time, the budget cuts Navy jobs and reduces spending on fighter jets and warships to control costs.
Unlike previous years, Trump’s new budget shifts money from traditional weapon systems to advanced technologies. It reduces the number of F-35 fighter jets and only funds three Navy warships. Instead, more funding is given to small drones, long-range missiles, and cyber defenses. Officials say the goal is to prepare for future threats, especially from China in the Indo-Pacific region.
The Pentagon will also retire older ships and planes that are costly to maintain. This move will save money and modernize the armed forces. However, it comes with job cuts—over 7,200 civilian Navy workers will lose their positions. At the same time, spending will rise on missile systems like the Long Range Anti-Ship Missile and Joint Air-to-Surface Standoff Missile.
Trump’s proposed budget also supports his signature Golden Dome missile defense shield. But most of that funding is included in a separate request. In Congress, some lawmakers are pushing back. A House subcommittee wants more F-35s than Trump asked for and plans to boost defense spending through the upcoming “One Big Beautiful Bill Act.”
The new budget reflects Trump’s defense priorities—more innovation, less reliance on old equipment, and a stronger military presence in Asia. It also highlights the growing political divide in Washington over how and where to spend military dollars. Debate is expected to intensify as the plan moves through Congress.