Chinese troops practice marching ahead of a Sept. 3 military parade at a camp on the outskirts of Beijing, Saturday, Aug. 22, 2015. China is ramping up publicity for its upcoming World War II military parade that will feature 12,000 soldiers and 500 pieces of military equipment, but officials still aren't saying which other countries are taking part in the spectacle. (AP Photo/Ng Han Guan)
Chinese troops practice marching ahead of a Sept. 3 military parade at a camp on the outskirts of Beijing, Saturday, Aug. 22, 2015. China is ramping up publicity for its upcoming World War II military parade that will feature 12,000 soldiers and 500 pieces of military equipment, but officials still aren't saying which other countries are taking part in the spectacle. (AP Photo/Ng Han Guan) Ng Han Guan

Rumours: China planning huge spending increase on military

DETERMINED to close the arms gap between itself and the US, China is reportedly set to announce a huge increase in military spending.

The ABC has reported Chinese military insiders are predicting an increase of up to 20% on last year's budget of $200 billion.

Most of the money will reportedly be used to modernise China's weaponry.

China has been stridently criticised by its regional neighbours and the US for its island-building and increasingly provocative military actions in the disputed South China Sea.

Meanwhile, it plans to lay off 1.8 million construction workers in the wake of poor economic growth. 



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