Analysis & Reports

China's People’s Liberation Army Navy (PLAN) has expanded to over 370 ships as of 2023, surpassing the U.S. Navy in fleet size. This growth is part of a strategic effort to modernize and develop a blue-water navy capable of global operations. While the U.S. retains advantages in tonnage and carrier capabilities, China's rapid naval expansion poses a potential threat in the near future.

Japan is advancing its military capabilities by establishing two new offices focused on unmanned combat systems in Tokyo. The Japan Ground Self-Defense Force aims to enhance its offensive capabilities by integrating advanced missiles with drones. This development is seen as a significant shift from its previous defensive posture, raising concerns about regional security.

Australia announced plans to increase its defense spending from 2% to 3% of GDP by 2033, citing complex geopolitical threats. The government will allocate an additional AUD 14 billion over four years and AUD 53 billion over ten years to enhance its military capabilities, particularly in drones and autonomous systems. This decision aligns with U.S. strategic interests in the Indo-Pacific region.

The B-52 Bomber faces significant vulnerabilities in Chinese airspace due to advanced long-range surface-to-air missile systems and modern fighter aircraft. However, upgrades to the B-52, including longer-range munitions and drone-launching capabilities, enhance its operational relevance in potential conflicts. The U.S. Air Force continues to adapt the B-52's mission profile to maintain effectiveness against evolving threats.

The U.S. Army is enhancing its capabilities to play a significant role in potential conflicts in the Pacific, particularly against China. This includes the development of long-range missile systems and the deployment of advanced units in the Philippines and Japan. The Army's budget request for fiscal 2027 aims to support these initiatives, reflecting a strategic shift in military operations in the region.

The Australian Army conducted a live-fire demonstration of the first Australian-made Guided Multiple Launch Rocket System missiles in Australia. This event marks a significant milestone in the country's defense capabilities.

The Kiev-class aircraft carriers, designed by the Soviet Navy, were classified as heavy aviation cruisers and focused on sea denial. One ship was sold to India in 2004 and is now active as INS Vikramaditya. These carriers were equipped with anti-ship cruise missiles and various defensive systems, reflecting the Soviet strategic emphasis on coastal defense. The class was decommissioned in the 1990s following the Soviet Union's collapse.

The U.S. military is enhancing its missile defense capabilities in Guam, with plans to deploy an Enhanced Integrated Air and Missile Defense System by 2025. Currently, there are only 6 THAAD launchers with 48 interceptors on the island, which is vulnerable to potential missile attacks from the PLA. The military is also assessing troop requirements to support these systems amid concerns about infrastructure strain on the island.

Japan is forming a special unit in April 2023 to coordinate the integration of unmanned systems into its Maritime Self-Defense Force, reflecting a shift towards a more aggressive military posture. The force is receiving advanced submarines and deploying long-range missile systems, indicating significant military enhancements. Japan's naval capabilities are now among the largest globally, with over 30 destroyers and 20 submarines.

Japan established two new offices within the Japan Ground Self-Defense Force to enhance the use of unmanned equipment, including drones and unmanned vessels, on April 8, 2023. The Defense Ministry plans to invest approximately 1 trillion yen over the next five years to procure thousands of unmanned systems. This initiative is part of a broader strategy to integrate drones and AI into Japan's defense capabilities, emphasizing their role in modern warfare.

The U.S. military is adapting its strategies based on lessons from the Iran conflict and the Ukraine war, focusing on drone warfare and logistics. Thousands of drones have been launched by Iran, prompting the U.S. to enhance its defense capabilities. Ukraine has provided anti-drone tactics to Gulf partners, highlighting the need for collaborative defense efforts. The economic implications of modern warfare, particularly in the Gulf region, are also emphasized.

U.S. Air Force B-1B Lancer bombers conducted long-range strike missions against Iranian targets in March and October 2025, effectively targeting missile infrastructure and command nodes. Deployed to RAF Fairford, these bombers operated with aerial refueling support, exploiting degraded Iranian air defenses. The B-1B's capability to deliver large volumes of precision-guided munitions proved crucial in the conflict, although its effectiveness may be challenged in future engagements with more advanced adversaries like China.

Japan is poised to ease its arms export rules, with formal adoption expected this month. This change has attracted interest from the Polish military and the Philippine navy, both seeking to modernize amid regional security challenges. Japanese defense contractors are preparing to expand their production capabilities to meet this new demand, signaling a significant shift in Japan's post-WWII defense policy.

Japan is set to ease its arms export rules this month, aiming to invigorate its defense industry and attract new customers like the Polish military and Philippine navy. This policy shift, supported by Prime Minister Sanae Takaichi, comes amid concerns over U.S. security commitments and aims to reduce reliance on U.S. military supplies. Japanese defense contractors are expanding their operations to meet anticipated demand for military equipment, including frigates and missile defense systems.

Japan's Prime Minister Takaichi's election victory in February 2026 enables a significant shift in defense policy, with plans to increase defense spending to 2% of GDP and liberalize export controls. This marks a transition towards operational integration with the EU, enhancing cooperation in defense capabilities and industrial partnerships. Japan identifies China as a strategic challenge and aims to strengthen its military posture in the Indo-Pacific.

Japan Integrated Security Design Agency (JISDA) announced the ACM-01 'Shiraha' drone on April 14, 2026, priced at approximately 70,000 yen ($450). This fixed-wing drone is designed as a training platform, emphasizing low-cost and expendability. JISDA aims to shift Japan's defense mindset towards using drones as repeatable services rather than expensive aircraft. The development was influenced by field research in Ukraine, focusing on the operational use of unmanned systems.

Australia's Defence Minister Richard Marles announced on April 14, 2023, that the country will increase its investment in drone capabilities and autonomous weapon systems by up to $5 billion AUD. This decision is influenced by the extensive use of low-cost drones in the Ukraine crisis and Iran conflict. Over the next decade, Australia plans to invest between $12 billion to $15 billion AUD to develop a comprehensive drone capability, including the Ghost Bat drone and Ghost Shark submarine.

The mayor of Yonaguni approved the Japanese Ministry of Defense's plan to deploy Type 03 medium-range air defense missile units by fiscal year 2030. This deployment aims to enhance Japan's military capabilities in the southwestern region, with personnel expected to increase to approximately 370. The move is perceived as a strategic action to support offensive operations on nearby islands and has raised concerns about regional stability.

In mid-2024, the U.S. military, through Project Maven, deployed AI warfare systems that significantly enhanced target engagement capabilities, increasing the number of targets hit daily from under 100 to 5,000. The Maven Smart System is now utilized across all military branches and is being adopted by NATO. Drew Cukor, a former Marine Corps colonel, played a pivotal role in this transformation, advocating for the integration of AI into military operations to improve efficiency and reduce civilian casualties.

The Australian Army successfully test-fired its first domestically manufactured Guided Multiple Launch Rocket System (GMLRS) missiles at the Woomera Test Range in South Australia on April 9, 2026. This milestone positions Australia as the only country outside the United States to produce GMLRS missiles, enhancing its defense manufacturing capabilities. The test is part of a broader effort to establish a self-sufficient defense industry, supported by a $320 million government investment.