TAIPEI (Taiwan News) — The Cabinet said Friday that budget cuts proposed by opposition lawmakers could total over NT$200 billion (US$6.08 billion) and severely impact policy implementation. 

Opposition lawmakers from the KMT and TPP have consistently pushed for deep spending cuts in the government’s proposed 2025 budget during cross-party negotiations. Budget discussions in the legislature came to a standstill on Thursday, as government ministries warned the cuts proposed by opposition lawmakers would jeopardize essential services.

The budget reduction would mark a six-fold increase from the NT$29.9 billion cut last year. The Cabinet warned the proposed cuts would severely impact government policy initiatives and negatively affect the country’s development, per CNA.

Water and electricity expenses face a 10% reduction. Special expenditures, along with media policy and business promotion costs, are slated for a 60% cut, unless alternative budget proposals are approved.

Cabinet Spokesperson Lee Hui-chih (李慧芝) stated that many line-item budget cuts would be made without regard for policy implementation. For example, international travel and overseas education and training expenses face a 60% reduction.

The budgets of three agencies, including the Ministry of Digital Affairs, are set to be eliminated. These cuts are expected to weaken Taiwan’s international connections in areas such as technology, human rights, culture, healthcare, sports diplomacy, gender equality, and economic cooperation, hindering Taiwan’s ability to keep pace with global progress.

While schools, public libraries, museums, and art galleries are exempt from the water and electricity expense cuts, other public-facing units, such as the National Taxation Bureau, will have to deal with the proposed 10% reduction. Lee warned this would negatively impact public services.

Special funds for agency heads are also set to be cut by 60%, with 11 agencies, including the Cabinet and Ministry of Justice, losing these funds entirely. This includes funds for special duties, performance rewards, and the promotion of local agricultural products.

Lee said across-the-board cuts are already having a major impact. As more ministry proposals are under review, critical areas like national security, cybersecurity, disaster prevention, diplomacy, and key sectors such as the economy, technology, and agriculture could be affected. Social welfare, healthcare, culture, education, and labor rights and benefits are also at risk. 

Lee urged opposition lawmakers to reconsider their position. She called on legislative oversight to benefit the country and its citizens, rather than serving emotional or retaliatory purposes. 

Lee warned that if the Legislative Yuan persists with these cuts or freezes, the Cabinet will struggle to implement policies and may be forced to take action.

Article 3, Section 2, Subsection 2 of the Additional Articles of the Republic of China’s Constitution states that if the Cabinet deems a legislative decision on a bill, budget, or treaty difficult to implement, it may, with presidential approval, request reconsideration from the Legislative Yuan within 10 days of receiving the decision.