^{Photo: NBC News}

China ramped up its military exercises across the Taiwan Strait, East and South China Seas, and the wider Western Pacific last year, spending an estimated $21 billion—a 40% jump from 2023, according to Taiwan’s defense assessments. The figure sheds rare light on where Beijing is channeling its expanding defense budget, with growing implications for regional stability and global security.

Rising Costs Behind Expansive Drills

Taiwan’s military tracked China’s aircraft and naval deployments in 2024 and calculated costs based on fuel, maintenance, crew salaries, and operational expenses. Their analysis placed the total at 152 billion yuan ($21.25 billion), representing 9% of Beijing’s reported defense budget, up from 7% in 2023.

China officially allocated 1.67 trillion yuan ($233.47 billion) for defense in 2024, but Western diplomats and regional analysts believe the actual spending is significantly higher, given the lack of transparency in Beijing’s disclosures.

Scale of China’s Military Operations

The report noted a sharp increase in both naval and aerial missions:

• Air power: Nearly 12,000 flights, including J-10 fighter jets, H-6 bombers, and drones, totaling 37,000 hours in the air—a 30% rise from the previous year.
• Naval activity: More than 86,000 sailings, including aircraft carriers and destroyers, equating to 2 million hours at sea, up about 20% year-over-year.
• Regional focus: About 34% of missions took place in the South China Sea, 28% in the East China Sea near Japan and South Korea, and 14% directly in the Taiwan Strait.

Officials noted that these maneuvers are part of Beijing’s effort to “normalize military power projection” within the so-called First Island Chain—a strategic arc from Japan through Taiwan and the Philippines to Borneo.

Expanding Reach Beyond Asia

China’s navy is also venturing further afield, from anti-piracy patrols off Somalia to increased movements in the northern Pacific near Alaska, according to U.S. defense reports. Analysts say this reflects Beijing’s ambition to secure blue-water naval capabilities and challenge U.S. dominance in global maritime security.

Implications for Taiwan and Regional Security

The spending estimate is significant when compared to Taiwan’s own defense outlays, as the $21 billion dedicated by China for drills alone equals about one-quarter of Taiwan’s entire 2024 defense budget.

Taipei has repeatedly warned that China’s “grey-zone tactics”—using frequent drills to intimidate without direct conflict—are eroding stability in the Indo-Pacific. Taiwan’s defense ministry said Beijing’s actions are “severely undermining peace and stability”, while experts stress that the rapid growth in both frequency and geographic scope of exercises points to long-term escalation.

Strategic Takeaway

While Beijing insists its defense posture is “transparent” and defensive, the scale of these exercises paints a different picture. With nearly half of China’s drill activity focused on contested waters, regional powers and Washington remain on high alert, bracing for further military expansion in 2025 and beyond.

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