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Trump Seeks $1.5 Trillion Pentagon Budget as Iran War Costs Rise

The plan could steer more money to missile defense, fighter jets and space surveillance pending congressional approval.

Overview

  • The administration’s fiscal 2027 request targets roughly $1.5 trillion for defense, up from about $1 trillion in 2026.
  • Higher spending push follows costlier operations linked to the Iran conflict, which has raised military and energy-related expenses.
  • Lawmakers remain split over how much to fund, how long the fighting could last, and how involved the United States should be.
  • Investor coverage highlights potential gains for defense contractors, though any boost depends on Congress passing the plan.
  • Lockheed Martin’s recent PAC-3 missile contracts and the request for 85 F-35 jets in 2027 illustrate where new funds could flow.