Over the weekend, the Chinese government announced its plans to increase defense spending by 7.2% to 1.56 trillion Yuan, citing perceived threats from the United States. Additionally, China is taking a firm stance against Taiwan’s independence and has expressed a desire for a peaceful unification. However, China’s ramped up rhetoric and defense spending are expected to benefit US defense teams like Raytheon and Lockheed Martin. Raytheon, for example, recently announced a $250 million contract from the Space Development Agency to build missile warning and tracking satellites.
