Taiwan Approves $25 Billion Defense Bill for U.S. Weapons

Taiwan's opposition-controlled Legislative Yuan approved a supplementary defense budget of NT$780 billion (approximately US$25 billion) on May 8, 2026. The bill, supported by the Kuomintang and the Taiwan People's Party, focuses on U.S. weapons including HIMARS, Javelin anti-armor weapons, and M109A7 howitzers. This amount is roughly two-thirds of the NT$1.25 trillion package originally proposed by Lai Ching-te, who signed the downsized bill into law on May 11.

The ruling Democratic Progressive Party expressed regret over the cuts, arguing that the reduced funding creates security gaps and weakens indigenous weapons development. Specifically, the budget excludes funding for foreign direct commercial sales and domestic contract production, including the Strong Bow anti-ballistic missile system and counter-drone technology. Premier Cho Jung-tai announced on May 14 that the Cabinet is exploring alternative funding options, such as reserve funds or a new supplementary budget, to cover these critical gaps and meet a May payment deadline for HIMARS systems.

U.S. lawmakers and the State Department welcomed the approval as a signal of resolve against Chinese aggression. However, the U.S. State Department noted that further delays in funding remaining capabilities would be a concession to the Chinese Communist Party. The legislative battle occurred shortly before a scheduled summit in Beijing between U.S. President Donald Trump and Chinese President Xi Jinping.