Secretary of Defense Lloyd Austin greets Enrique Manalo, Secretary of Foreign Affairs of the Philippines in Manila, Feb. 2, 2023. (US DoD/Chad J. McNeeley)

WASHINGTON — As the United States continues its quest to strengthen relationships in the Indo-Pacific region in the face of a possible military conflict with China, two senior Biden administration officials are leaving the Philippines with a pledge to deliver $500 million to help modernize the island nation’s military.

This level of funding is unprecedented, and it sends a clear message of support for the Philippines from the Biden-Harris administration, the US Congress, and the American people,” US Defense Secretary Llyod Austin told reporters today following the fourth Philippines-US 2+2 Ministerial Dialogue in Manila.

That new $500 million would come in the form of a Foreign Military Financing (FMF) package and will be pulled from the fiscal 2024 Indo-Pacific Security Supplemental Appropriations Act. US Secretary of State Antony Blinken called it a “once in a generation” investment.

“This is really designed to support the modernization of Filipino forces and Coast Guard as they transition to focus on external defense,” Blinken said. “We’re building on a lot of progress the Philippines has already made to be better positioned to defend their sovereignty. That is what this is about.”

The Philippines’ Secretary of Defense Gilberto Teodoro didn’t disclose precisely how those dollars will be spent but said the Philippines-Security Sector Assistance Roadmap (P-SSAR) — a plan designed to align the joint priorities between the two nations and finalized on Monday — will guide investments. Foreign Military Financing, which the US provides money to a few partner nations like Israel and Poland, is a gift or loan of US dollars that can be used to purchase US-made military equipment.

“Naturally, a lot of our inherent hardening capabilities are included, like cyber capabilities and the like,” Teodoro said, noting that ministers spent a chunk of time discussing enhanced cybersecurity cooperation. A focus on cybersecurity comes as Manila and Washington work to nail down a general security of military information agreement by year’s end, with Austin reasserting that such a deal is “crucial.”

In other meeting news, the US also promised an additional $128 million to support Enhanced Defense Cooperation Agreement (EDCA) infrastructure projects across seven locations in the Philippines, according to the ministers and a subsequent joint statement. However, those dollars are contingent on US lawmakers approving the White House’s FY25 budget request since that funding is included in the request still on Capitol Hill.

Born out of a 2014 deal that has since expanded, EDCA enables the two nation’s militaries different locations to train together and respond to different types of crisis situations.

Today’s 2+2 ministerial meeting is part of a larger regional trip Austin and Blinken are on that also included a stop in Japan. There, the duo announced this weekend plans to convert US Forces Japan into a joint force headquarters reporting directly to the head of the Indo-Pacific Command.

That new joint force headquarters, according to Austin, will be helmed by a three-star officer and serve as a counterpart to the Japan Self-Defense Forces Joint Operations Command.

“This will be the most significant change to US Forces Japan since its creation, and one of the strongest improvements in our military ties with Japan in 70 years,” Austin added. “Japan’s new Joint Operations Command will further allow our forces to work together more closely than ever. And these new operational capabilities and responsibilities will advance our collective deterrence.”