Space Force Gutted—Who’s Watching China?

The U.S. Space Force is heading into its second straight year of budget cuts — losing nearly $4 billion since FY25 — just as its top general prepares to retire next month.

Story Snapshot

The Space Force budget dropped 2% in FY25 to $29.4 billion — the branch’s first-ever cut — and the Trump administration’s FY26 proposal cuts it further to $26.3 billion.
General Chance Saltzman, Chief of Space Operations, is set to retire next month, leaving the branch without its top advocate during a critical funding battle.
About 400 to 450 civilian workers have already been cut, reducing key expertise in weapons buying and development.
The Space Force is the smallest military branch but is responsible for defending U.S. satellites and space assets against rivals like China and Russia.

Two Years of Budget Cuts for the Youngest Military Branch

The Space Force took its first-ever budget cut in FY25, dropping from $30 billion to $29.4 billion — a 2% reduction. That cut included $600 million less for research and development and $650 million less for procurement. Now, the Trump administration’s FY26 budget proposal would cut the branch even further, down to $26.3 billion — a 9% drop from FY25 levels. That means the Space Force would lose nearly $4 billion in two years.

House lawmakers had also pushed for deeper cuts during FY25 debates, proposing an additional $900 million reduction on top of the already-trimmed request. The Space Force is the smallest branch of the military but carries one of the largest missions — protecting U.S. satellites, communications, and space-based systems from adversaries. Vice Chief of Space Operations General Michael Guetlein has noted the branch has the smallest budget relative to its area of responsibility.

The Department of Government Efficiency (DOGE) initiative has been linked to much of the trimming. An analysis by Air and Space Forces Magazine found that DOGE-connected cuts account for nearly $2.3 billion across the Air Force and Space Force budgets combined in FY26, including funding for more than 5,700 full-time civilian positions. For the Space Force specifically, roughly 400 to 450 civilian workers have already been cut, with an estimated $150 to $200 million in savings tied to those reductions.

Losing Civilian Experts at a Critical Moment

Civilian workers at the Space Force are not just desk jobs — many are specialists who manage weapons contracts, oversee satellite programs, and guide the technical side of space operations. Cutting hundreds of those workers doesn’t just save money; it removes hard-to-replace knowledge. Replacing that expertise takes years of training and experience. General Saltzman told lawmakers that new mission areas will require “new and stable resources” — a direct signal that the current budget path concerns him.

The timing makes this harder. Saltzman is set to retire next month. He has been the Space Force’s most visible advocate in front of Congress. His departure leaves the branch without its top voice at a moment when it needs to make the case for more funding, not less. Whether his replacement will carry the same weight with lawmakers remains to be seen.

The Bigger Picture: Efficiency vs. Readiness

The Trump administration and Pentagon officials frame these cuts as smart efficiency — trimming waste and redirecting money to higher priorities like missile defense and the Indo-Pacific. Defense Secretary Pete Hegseth has ordered military branches to cut 8% from nonlethal programs and refocus spending on what he calls “peace through strength” priorities. Some defense analysts describe the FY25 Space Force cut as “acceptable” and say the branch can maintain momentum against China.

🔴 Space Force Chief Saltzman: Military must stabilize democracy amid partisan divisions

Gen. Chance Saltzman, US Chief of Space Operations, delivered his final address at the Global Air and Space Chiefs conference in London, capping a 35-year military career. He argued military… pic.twitter.com/Uzm9N7CvAO

— NewsTongue (@NewsTongueX) July 15, 2026

But this debate isn’t new. Every major military budget reduction in recent decades — from post-Cold War drawdowns to Obama-era sequestration — triggered similar warnings from service leaders about lost readiness and skill gaps. The Space Force situation fits that pattern. What’s different here is the speed of the cuts, the small size of the branch to begin with, and the fact that China is actively expanding its own space warfare capabilities. FY27 budget projections do show some recovery, with research and development funding expected to rise. But that future investment doesn’t fill the gap being created right now — and the people being let go today won’t simply return when the budget improves.