TAIPEI (TVBS News) — Taiwan's legislature began reviewing a NT$1.25 trillion (around US$38.9 billion) military procurement special bill Monday (March 23), with political parties divided over fund allocation between domestic and U.S. defense projects. Kuomintang (KMT, 國民黨), Taiwan's main opposition party, legislators support U.S. purchases but argue domestic defense items should remain under the regular annual budget, setting the stage for contentious negotiations.
Defense Minister Wellington Koo (顧立雄) revealed that MQ-9B drones and the first F-16 Block 70 fighter jet from the U.S. will arrive in Taiwan in the third quarter of 2026. The Executive Yuan, Taiwan's cabinet, version of the special budget includes NT$310 billion (around US$9.6 billion) in announced U.S. arms sales and an estimated NT$480 billion (around US$14.9 billion) in unannounced sales featuring Patriot missiles and NASAMS defense systems.
The domestic component totaling NT$386 billion (around US$12 billion) covers indigenous missile production, various drones, unmanned vessels, and expansion of 14 military production lines. An additional NT$60 billion (around US$1.87 billion) will fund joint discussions with the U.S. on rapidly enhancing Taiwan's combat capabilities. Koo expressed hope for continued negotiations to reach a bipartisan consensus on the contentious procurement bill.
Democratic Progressive Party (DPP, 民進黨), Taiwan's ruling party, legislator Lee Kuen-cheng (李坤城) criticized the opposition's version, saying it would only benefit China if passed. DPP legislator Lin Chu-yin (林楚茵) emphasized, "The Legislative Yuan does not compile or discuss budgets. Its role here is to review budgets and regulations." Koo reiterated the importance of bipartisan collaboration, stressing ongoing negotiations and expressing optimism for the bill's passage.