The top U.S. diplomat in Taiwan urged the opposition-controlled legislature to approve a $40 billion supplemental defence budget, emphasizing the need for integrated air and missile defences and drones. Delays threaten Taiwan's position in U.S. weapons production and delivery queues, officials warn. Defence Minister Wellington Koo cited recent Chinese naval activity near the Penghu islands, calling the security threat existential. The KMT supports defence spending but demands greater detail and oversight before approving the package.
US Urges Taiwan Parliament To Approve $40B 'Comprehensive' Defence Budget To Secure Air, Missile Defences And Drones
FILE PHOTO: Raymond Greene, Director of the American Institute in Taiwan makes a speech at the opening of new exhibition from the New York Met at National Palace Museum in Taipei, Taiwan June 13, 2025. REUTERS/Ann Wang/File Photo
TAIPEI — The top U.S. diplomat in Taiwan pressed the island's opposition-controlled legislature on Monday to approve a "comprehensive" supplemental defence budget, saying integrated air and missile defences and drones are essential and in high global demand.
President Lai Ching-te proposed a $40 billion supplemental package last year to fund both U.S.-supplied systems and domestically produced weapons such as drones, arguing Taipei needs strengthened capabilities to deter the threat from China, which regards the island as its territory. Lai has repeatedly insisted that only the people of Taiwan can determine the island's future.
Parliamentary Stalemate
Talks in the legislature have stalled. The main opposition Kuomintang (KMT) says it supports defence spending but will not write "blank cheques," and is demanding more detailed planning and oversight from the government before approving the package.
US Appeal And Strategic Context
In an interview with the China Times, Raymond Greene, head of the American Institute in Taiwan (the U.S. mission that manages unofficial ties with Taipei), said passing a comprehensive budget package is vital. "This would not only send a critical signal to the international community, but is also essential for ensuring Taiwan acquires the full range of defence capabilities it has requested," Greene said.
"As evidenced on the battlefields of the Middle East and Ukraine, these systems are not only critically important but are also in extremely high demand worldwide," Greene added, referencing global competition for integrated air and missile defences and drone technology.
The U.S. has already approved specific sales such as the Lockheed Martin-built HIMARS multiple-launch rocket system, and in December unveiled an $11 billion arms package — the largest ever for Taipei. Taiwan's special defence budget also seeks broader integrated air and missile defences, additional drones and related capabilities.
Risks Of Delay
Taiwan's government warns that further delays could jeopardize its place in production and delivery queues for U.S. weapons, potentially slowing or limiting access to systems Taiwan considers critical to its defence.
Domestic Security Warnings
Defence Minister Wellington Koo told parliament the threat facing Taiwan is not "random talk," citing recent sightings of Chinese warships southwest of the Penghu islands in the Taiwan Strait. "This is a matter that bears on the very survival of our country," he said, urging lawmakers to pass the defence spending legislation.
KMT Chairwoman Cheng Li-wun, who recently met Chinese President Xi Jinping in Beijing and plans a U.S. visit in June, said Taiwan should not be forced to choose between China and the United States, while acknowledging rising global concern about the risk of conflict across the Taiwan Strait.
Context: The United States is Taiwan's most important international backer and arms supplier. China has repeatedly demanded that the U.S. stop selling weapons to Taiwan, heightening the diplomatic sensitivity of arms approvals and Taiwan's own defence planning.
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