Trump unveils $163 billion budget cuts, boosts defense spending

President Donald Trump's proposed fiscal 2026 budget seeks to reduce non-defense federal spending by $163 billion, targeting areas such as environmental, education, healthcare, and foreign aid programs, while increasing funding for defense and border security. The plan reflects a conservative, cost-cutting approach, with the administration citing a partnership with Elon Musk's Department of Government Efficiency as a driving force behind efforts to eliminate 'woke' and 'wasteful' spending. The proposal includes a significant increase in defense spending, pushing the category above $1 trillion for the first time, and a nearly 25 percent cut to non-defense budgets if border enforcement funding is excluded. Most non-defense agencies would face deep cuts, with notable reductions proposed for the State Department and Housing and Urban Development. Critics, especially Democrats, have condemned the plan as harmful to health and education, and the budget is expected to encounter substantial opposition and revisions in Congress. The proposal is seen as an opening salvo in what is likely to be a contentious budget debate on Capitol Hill.