Navy's nuclear program leads Brazil's military spending

Brazil's military spending has seen a significant shift, with the Navy's nuclear program surging to the forefront of investment for 2025. This program received 4.5 times more funding than the previous year, marking its highest position in recent military investment rankings. It now rivals air traffic control in expenditure, an area with significant civilian applications.

In contrast, the Gripen fighter jet project, which had led military investments since 2016, has fallen to fourth place. While the nuclear program saw its funding rise to 1.4 billion reais (adjusted for inflation), up from 311 million reais in 2024, the Gripen project received 965 million reais. This drop in funding reflects delays in the delivery of the Swedish-designed fighter jets, with the initial plan for all 36 aircraft to be operational by 2024 now extended to 2032. The government is reportedly negotiating for an additional 20 jets, but funding remains uncertain.

The substantial allocation to the Navy's nuclear program, totaling 1.4 billion reais, is primarily for technological development. This funding is intrinsically tied to the construction of Brazil's first nuclear submarine, the Álvaro Alberto. According to the Navy, these funds have been used to enhance expertise in nuclear fuel cycle management, establish a nuclear power generation laboratory, and develop the reactor for the submarine. A significant portion, 953 million reais, has been directed to contracted companies, mainly for engineering services.

The nuclear submarine project itself, separate from the broader technological development, received 649 million reais in 2025, ranking seventh in overall spending. This renewed focus on nuclear capabilities coincides with the final stages of manufacturing four conventionally powered submarines of French design. This conventional submarine program received 461 billion reais in 2025, with the latest unit launched at sea.

The Navy's nuclear program has a long and complex history, dating back to 1979. It achieved success in developing centrifuges for uranium enrichment, which led to a dispute with the International Atomic Energy Agency (IAEA) in 2004 over inspection protocols. During Brazil's military dictatorship, the project was part of an effort that included the potential development of an atomic bomb. Brazil abandoned this intention in 1990 and joined the Nuclear Non-Proliferation Treaty (NPT) eight years later. President Lula has expressed regret over this path, suggesting Brazil should arm itself due to global instability, while criticizing established powers for not reducing their arsenals and other nations joining the nuclear club.