Taiwan allocates $40B for weapons amid U.S. pressure
Taiwan's President Lai Ching-te announced a $40 billion budget for arms purchases on Wednesday, which includes plans to develop an advanced air defense system called Taiwan Dome, designed for high-level detection and interception. This move comes as the U.S. pressures the island to boost its defense spending.
According to the leader, this budget will be allocated over eight years, from 2026 to 2033, and comes after Lai already pledged to raise defense spending to 5% of the island's GDP, as part of his strategy amid China's threats of invasion, News.Az reports citing foreign media.
"China's threats to Taiwan and the Indo-Pacific region are escalating," Lai said on Wednesday. "Recently, various types of military intrusions, maritime gray zones and disinformation campaigns have been occurring in Japan, the Philippines and around the Taiwan Strait, causing deep unease and distress to all parties in the region."
"Taiwan, as the most important and most critical part of the first island chain, must demonstrate our determination and take on a greater responsibility in self-defense," he said, referring to the string of islands stretching from Japan's East China Sea through the Philippines in the Pacific Ocean.
Last week, Japan said that it scrambled aircraft after detecting a suspected Chinese drone near its southern island of Yonaguni, which is close to Taiwan.
Currently, Taiwan has set an increase in its defense budget to 3.3% of its GDP for 2026, allocating $949.5 billion Taiwan dollars ($31.18 billion). President Donald Trump has demanded Taiwan raise its defense spending to as much as 10% of GDP, a proportion well above what the U.S. or any of its major allies spend.
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