Trump Submits $4.8 Trillion Budget...Significant Increase in Nuclear Military Spending

[Image source=Yonhap News]

[Asia Economy Reporter Hyunwoo Lee] The U.S. Donald Trump administration has submitted a $4.8 trillion (approximately 5697.6 trillion KRW) budget proposal for the 2021 fiscal year (October 1, 2020 ? September 30, 2021) to Congress. Notably, the budget for the nuclear weapons sector, aimed at countering China and Russia, has been significantly increased, raising expectations that the arms race will intensify further. However, with the U.S. Democratic Party opposing cuts to social safety net budgets, it is anticipated that the budget proposal will face difficulties passing the House of Representatives.

According to U.S. local media such as The Wall Street Journal (WSJ), the Trump administration submitted the $4.8 trillion budget proposal for the 2021 fiscal year to Congress on the 10th (local time). While non-defense budgets, including social safety net programs, were significantly reduced, defense budgets such as those for nuclear weapons were increased. The defense budget for the 2021 fiscal year was set at $740.5 billion, a 0.3% increase compared to the previous fiscal year. Of this, $28.9 billion was allocated for nuclear weapons modernization, and $20.3 billion for missile interception and defense systems. Since withdrawing from the Intermediate-Range Nuclear Forces (INF) Treaty in August last year, the U.S. has been enhancing its nuclear and missile capabilities through ballistic missile test launches and the establishment of the Space Force. The arms race with China and Russia is expected to become even more intense.

The non-defense budget was set at $590 billion, about 5% less than the previous fiscal year, and the plan also includes reducing budget expenditures by $4.4 trillion over the next 10 years, focusing on social safety net spending. The spending cut plan includes $130 billion in reductions in Medicare prescription drug costs, $292 billion in cuts to social safety net programs such as Medicaid and food stamps (medical and nutritional support for low-income groups), and a total of $2 trillion in cuts to mandatory spending programs.

The opposition Democratic Party has opposed the budget proposal, calling it "dead on arrival" due to cuts to social safety net budgets and has vowed to immediately reject it. Especially since the House of Representatives is controlled by the Democrats, it is expected that the budget proposal will have difficulty passing. The Democrats have criticized President Trump for reversing his promise made in the State of the Union address on the 4th to always protect social security and Medicare health programs for the elderly.

House Speaker Nancy Pelosi, a Democrat, stated in a press release, "President Trump's budget proposal shows how little he values the health, financial security, and welfare of hardworking American families," and "Every year, President Trump's budget attempts to impose massive cuts on critical lifelines that the American people depend on." John Yarmuth, Chairman of the House Budget Committee and a Democrat, also issued a statement criticizing the proposal as a "destructive and irrational budget," saying it "targets programs that help Americans make ends meet while extending tax cuts for millionaires and wealthy corporations."

This content was produced with the assistance of AI translation services.