The projected cost of the US Yellow Dome defense system is expected to reach $1.2 trillion.
The U.S. Congressional Budget Office (CBO) estimates that the Golden Dome project proposed by President Donald Trump will cost seven times more than initially projected.
The U.S. strategic missile defense system, codenamed "Golden Dome," could cost approximately $1.2 trillion over the next two decades. This is the latest analysis released by the Congressional Budget Office (CBO) on May 12th, providing a more comprehensive and realistic view of the financial scale of this ambitious military project.
A large discrepancy in budget estimates.
According to a report from the CBO, the projected total investment of $1.2 trillion for the "Golden Dome" program is nearly seven times higher than the $175 billion figure President Donald Trump mentioned in May 2025. This difference reflects the complexity and enormous scale of a multi-layered defense network, combining ground and space elements.
The project is inspired by Israel's "Iron Dome" system, which has proven effective in intercepting firepower from Iran and its proxies. However, instead of focusing solely on short-range targets, the "Golden Dome" is designed to intercept ballistic missiles and strategic weapons at all stages of their flight trajectory.
Combat capabilities and technical components
In the relevant executive order, President Donald Trump emphasized the necessity of this system in light of the development of next-generation strategic weapons from potential adversaries. He stated that over the past 40 years, the threat has not diminished but has become more complex with advanced launch systems.
This defense system is expected to include:
- Spatial components:These include sensor satellites and possibly interceptor systems placed in orbit. According to the Associated Press, space-based equipment alone could account for up to $542 billion of the total budget.
- Ground components:Early warning radar stations, fire control systems, and high-altitude interceptor missile launchers.
- Network connectivity:An integrated command and control system, enabling a rapid response to hypersonic threats.
Challenges related to implementation and transparency.
President Donald Trump aims to have the system fully operational before the end of his term in January 2029. However, the CBO warns that a lack of detailed information from the U.S. Department of Defense regarding the specific types and numbers of systems is making it difficult to estimate long-term costs.
On the project's management side, General Michael A. Guetlein, Director of the "Golden Dome" project, affirmed that the team is focusing intensely on affordability. During a hearing in April 2026, General Guetlein refuted the record-high estimates, arguing that analysts were basing their figures on outdated systems rather than the project's more advanced technological solutions.
Political debate and budget approval
The "Golden Dome" project is facing mixed opinions in the US. Senator Jeff Merkley expressed concern, arguing that it could be a massive expenditure that benefits defense contractors while the financial burden falls on workers.
Despite the debates, the project's initial stages have received significant financial backing. The U.S. Congress has approved an initial budget of $24 billion through a spending bill signed into law in the summer of 2025. This is considered seed funding to deploy key research and testing phases for America's future missile shield.