TAIPEI (Taiwan News) — China will increase defense spending this year by 7.2%, according to a budget report released by the Ministry of Finance on Tuesday (March 5).

China plans to spend US$230.60 billion (NT$7.28 trillion) on defense this year, according to CNBC. Chinese defense spending is watched closely by China’s neighboring countries and the U.S., who are concerned about Beijing’s intentions and the buildup of its military as tensions over Taiwan have ramped up, according to Reuters.

This year’s growth in Chinese military spending is the ninth straight year of a single-digit increase, Reuters noted. China’s official defense budget is second only to the U.S., though some unofficial estimates say Beijing’s military spending could be larger than it officially states, CNBC said.

Meanwhile, in a separate work report, China said it would “resolutely oppose separatist activities aimed at ‘Taiwan independence’ and external influence,” per Reuters. The report also said Beijing would “be firm in advancing the cause of Chinese reunification,” dropping the use of “peaceful reunification” in prior reports, Reuters noted.