MANILA — Defense Secretary Gilberto Teodoro outlined plans to expand unmanned military capabilities, including drone acquisition and development, during a budget hearing in the lower house of Congress. The Philippines plans to expand its unmanned capabilities as part of efforts to modernize its military.

Teodoro proposed a 6.3% increase in the defense ministry's budget for 2027, raising it from the 305.5 billion pesos ($4.95 billion) spending plan approved for the current year. Drone expansion is part of a proposed 50 billion pesos ($810.4 million) allocation for the Philippines' modernization program for the next year. This proposed allocation is 25% higher than the current budget.

The priority for drone expansion includes developing systems, connectivity, and operational know-how needed to use drones effectively. "More than the personnel, it is the integration into the operation, what do you do with them and how do you use them," Teodoro said. He added that as the country matures on the cycle, it can acquire more assets.

Teodoro stated that developing secure communications and network capabilities was crucial for drone operations. He declined to identify specific drone systems under consideration, stating that the details were classified and highly sensitive. "They are very, very sensitive to compromise, particularly with AI," he said.

The Philippine armed forces currently operate a fleet of unmanned aerial vehicles that provide intelligence, surveillance, and reconnaissance. The Philippines also plans to acquire additional guided-missile corvettes and other major defense assets to enhance its external defense capabilities.

Teodoro stated that the Philippines was in close contact with several countries with expertise in drone technology. The Australian government donated 20 units of Unmanned Aerial System (UAS) to the Philippine Coast Guard on April 8, 2025, at a handover ceremony in Mariveles, Province of Bataan. In June 2026, Ukraine's ambassador to the Philippines, Yuliia Fediv, stated that Kyiv has been in discussions with Manila over drone technology cooperation. The United States gave the Philippine military four solar-powered sea drones in June 2026 to boost maritime surveillance.

The Philippines has shifted its security focus from internal threats to external security during rising tensions with Beijing in the South China Sea. Confrontations between the Philippines and China over disputed features inside Manila's exclusive economic zone have increased in frequency in recent years.