China's Military Budget Misunderstanding

The true size of China's military budget is often underestimated, leading to misleading comparisons with the U.S. defense budget. While official reports state that China spends approximately $229 billion, experts argue that when accounting for unreported expenses, the figure is closer to $700 billion, nearly equivalent to U.S. military spending. This misunderstanding stems from a lack of clarity on what constitutes military expenditure, including costs associated with the Coast Guard, research and development, and other military-related investments that the Chinese government does not publicly disclose. Proper evaluation requires looking at the actual outputs and capabilities of China's military investments, which are increasingly outpacing U.S. capabilities in key areas, not only in size but in readiness and strategic impact across critical regions.