Santiago plans to double military spending in 2027 and expand infrastructure in the south amid tensions with Argentina.

Chile plans to double military investment in 2027 and expand its military infrastructure in the country’s southernmost territories, Defense Minister Fernando Barros announced in Punta Arenas this week, as tensions with Argentina rise over the region.

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Barros said the government is preparing a long-term modernization plan focused on strengthening Chile’s capabilities in Tierra del Fuego, the Strait of Magellan and Antarctica. The move follows recent territorial tensions and statements by Argentine officials that questioned Chilean sovereignty over the Strait of Magellan.

The investment plan will cover the replacement of several aging weapons systems and military vehicles currently deployed in the southern region. They include F-5 fighter-bombers that have been in service there for 50 years, C-130 Hercules transport aircraft, P-3 Orion maritime surveillance aircraft, UH-1H helicopters and nearly 200 German-made Leopard 1V tanks.

Text Reads: National Defense Minister announces plan to strengthen Chile’s strategic capabilities and presence in the southern zone.

Unofficial reports have also pointed to Chilean interest in acquiring U.S.-made F-35 fighter jets, although the government announcement did not confirm such a purchase.

Barros said Chile is also planning new military bases and port infrastructure to maintain a permanent presence in the southern seas.

“We are defining the directive that will determine investments for the next decade, ensuring that we have the necessary means to confront the geopolitical challenges and threats our country faces in an increasingly complex context,” Barros said.

The current budget allocates $2.4 billion to the defense sector.

Tensions over the southern region

The announcement came after Argentine Foreign Minister Pedro Quirno said Argentina is a “bicontinental and bioceanic country” and must strengthen its presence in the South Atlantic because it is the route to Antarctica.

Although the remarks were later qualified by officials in Buenos Aires, they caused concern in the Chilean government and were followed by plans to reinforce Chile’s capabilities in its southern territories.

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The measures also come as Argentine President Javier Milei has positioned his government as a close ally of U.S. President Donald Trump’s administration. Argentina has authorized the sharing of a military base in Ushuaia, on the Beagle Channel.

The move transforms Argentina’s Tierra del Fuego into a platform for Washington’s expansion toward Antarctic resources, according to the source material, in exchange for U.S. support for Argentina’s sovereignty claims over the Malvinas Islands, which have been under British control since 1833.

Chile’s planned investment and infrastructure expansion put its southern territories and Antarctic presence at the center of the country’s military modernization strategy as tensions with Argentina continue to shape developments in the region.

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