Revenues at China’s military firms fell by 10% last year due to a corruption crackdown that has disrupted arms contracts and procurement, according to a report by the Stockholm International Peace Research Institute (SIPRI). This decline contrasts sharply with the global growth of military revenues, driven by conflicts such as those in Ukraine and Gaza. The corruption purges, particularly within the People’s Liberation Army, have led to a postponement of major contracts and heightened uncertainty regarding China’s military modernization efforts. As China’s defense budget faces scrutiny, the implications of these delays could hinder the PLA’s strategic capabilities, especially as it aims for significant military advancements by its centennial anniversary in 2027.