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Xi Announces 7% Defense Rise, Reasserts Taiwan Stance

7/2/2026

Summary

Story summary

Xi announced a 7% defense spending rise for 2026, the smallest increase since 2021, keeping China the world’s second-largest military spender.
In a 40-minute speech on July 1, 2026, he marked the Party’s 105th anniversary and touted China’s development model as a global blueprint.
He reiterated that preventing Taiwan independence and achieving reunification remain the Party’s core duty and urged a “community with a shared future for humanity” built on Chinese solutions.

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Story summary

Xi announced a 7% defense spending rise for 2026, the smallest increase since 2021, keeping China the world’s second-largest military spender.
In a 40-minute speech on July 1, 2026, he marked the Party’s 105th anniversary and touted China’s development model as a global blueprint.
He reiterated that preventing Taiwan independence and achieving reunification remain the Party’s core duty and urged a “community with a shared future for humanity” built on Chinese solutions.