This article was originally published by Radio Free Asia and is reprinted with permission.
Taiwan plans to spend 70.6 billion New Taiwan dollars (US$2.2 billion) on American weapons next year, confirming recent speculation that it would make big new purchases to signal its commitment to President-elect Donald Trump’s suggestion that it pay more for U.S. “protection.”
Democratically-governed Taiwan, which China claims to have sovereignty over, heavily relies on U.S. support to counter Beijing’s growing military pressure, although it lacks formal diplomatic ties with the United States, which adheres to a “one China” policy.
“Taipei has signed contracts with the U.S. for 21 procurement projects, totalling NT$716.6 billion, with final payments scheduled to be made in 2031,” the island’s defense ministry said on Monday.
“Of this total, approximately NT$373.1 billion has already been paid, while NT$343.5 billion remains unpaid and will be disbursed according to the payment schedule,” the ministry added.
Next year’s NT$70.6 billion budget will be spent on weapons including portable short-range air defense missiles and radar system upgrades, according to the ministry.
A partnership between Washington and Taipei grew significantly during Trump’s first term and further deepened under President Joe Biden amid intensifying U.S.-China rivalry.
Former Taiwan President Tsai Ing-wen made history with a landmark phone call to Trump following his 2016 election victory, sparking a strong backlash from Beijing.
Trump also bolstered ties by ramping up arms sales and increasing diplomatic engagement, with Taiwan purchasing US$18 billion in U.S. weapons during his first term – US$4 billion more than the two terms of the Obama administration.
‘Bluntly transactional diplomacy’
However, during this year’s campaign, Trump adopted what media called “bluntly transactional diplomacy” and criticized Taiwan’s insufficient military spending and its semiconductor dominance, arguing it was “stupid” for the U.S. to provide free protection.
The president-elect also signaled doubt as to how quickly and effectively the U.S. could help defend the island against a Chinese invasion.
This sparked speculation in Taiwan that it may make significant new arms deals early under the next U.S. administration to demonstrate its commitment to addressing Trump’s concerns, with media reporting that Taiwan had approached Trump’s team regarding a possible US$15 billion weapons package.
The island’s defense minister, Wellington Koo, dismissed the report last week but said: “Communication and proposals for necessary weaponry would continue under the existing military exchange mechanisms with the future Trump administration.”
His ministry said on Monday that Taiwan’s arms purchases from the U.S. were based on assessments of enemy threats and informed by experience from recent global conflicts, such as the war in Ukraine.
“Budget allocations are determined based on annual defense funding availability, the progress of individual projects, and delivery schedules,” the ministry added.
In response to criticism from lawmakers about delayed deliveries of U.S. arms, the ministry said there had been disruptions caused by the COVID-19 pandemic, but noted manufacturing had gradually resumed post-pandemic, with delivery timelines accelerating.
A report by the Cato Institute, a Washington-based think tank, shows that as of August 2024, the cumulative value of U.S. arms sales to Taiwan that have yet to be delivered had reached $20.53 billion.
Shu Hsiao-Huang, an associate research fellow at the Institute for National Defense and Security Research, said some items requested by U.S. allies might not align with the current needs of the American army, which led to delays in production.
“Some new equipment faced integration issues, which requires system adjustments to meet customer demands,” said Shu, adding that certain weapons, such as Stinger missiles, had also become difficult to obtain due to high demand globally.
A recent proposal submitted to Taiwan’s legislature for review shows Taiwan’s weapon purchases from the U.S. included 108 M1A2T Abrams tanks, 66 F-16V fighter jets, 29 HIMARS rocket systems, and 100 Harpoon land-based missile systems.
