TAIPEI (Taiwan News) — Vice President Hsiao Bi-khim (蕭美琴) defended the proposed NT$1.25 trillion (US$40 billion) special defense budget in an interview with Mnews on Tuesday.
China seeks to annex Taiwan, and the international community knows this, Hsiao said. It is watching to see if Taiwan has the will to protect its own democracy and freedom, she said, per the Presidential Office.
Taiwan must therefore ensure its military has “the best, most advanced, and most timely equipment,” Hsiao said. “This equipment can’t wait five years — it is needed now.”
Some of the weapons in the budget include High Mobility Artillery Rocket Systems, Altius-700M drones, Javelin missiles, and TOW missiles.
The vice president broke the military’s defense needs into three procurement methods: foreign military sales (FMS), commercial procurement, and domestic contract manufacturing.
FMS involves buying from the US, Hsiao said. This is the traditional method for lethal or highly regulated weapons such as missiles, which must be handled through government-to-government exchanges, she said, according to the Presidential Office.
Commercial procurement for items such as anti-drone systems can be carried out quickly without complex government-to-government review processes, Hsiao said. Domestic contract manufacturing includes the production of engines, motors, drone lenses, and aerospace components.
To build a trusted global supply chain, Taiwan can cooperate on technology with international partners but produce locally, she said.
Hsiao added that Taiwan “must build a national consensus on defense and a multi-layered air defense system,” according to the Presidential Office. The T-Dome system, which is already being developed, can intercept various projectiles and unmanned systems and has AI capabilities, she said.
The list of arms purchases included in the special defense budget was compiled after years of in-depth discussions with experienced US security partners and internal military simulations and computer war games, Hsiao said.
“We are investing in a powerful national security today precisely to avoid war,” Hsiao said, per the Presidential Office. “We want those who intend to invade us to think twice because they know the threshold is higher, the difficulty is greater, and the risk of failure is immense.”
Hsiao’s comments come as the Legislative Yuan is scheduled to hold another round of negotiations on the special defense budget bill on Wednesday.




