Taipei: Taiwan's Cabinet on Thursday proposed a special budget bill totaling NT$210 billion (US$6.6 billion) over six years for the procurement of domestically produced drones, to offset funding removed from an earlier defense spending bill by opposition parties. The special budget, which uses a funding mechanism that bypasses normal budget planning procedures to ensure timely and sustained implementation, was proposed by the Ministry of National Defense (MND).
According to Focus Taiwan, the proposed budget would cover the procurement of 1,446 coastal reconnaissance drones, 208,200 coastal attack drones, and 1,320 unmanned surface vessels. Huang Wen-chi, head of the MND's Department of Strategic Planning, shared these details during a weekly Cabinet news conference. The proposed budget is set to run from August 2026 through the end of 2031.
The special budget was proposed after funding for domestic drone procurement was removed from an NT$1.25 trillion special defense budget bill by the Legislature last month. This removal created a gap in defense capabilities and limited opportunities to promote economic growth, MND official Weng Yu-heng stated.
The opposition Kuomintang and the Taiwan People's Party, which together hold a majority in the Legislature, passed an alternative version of the special defense budget with a spending cap of NT$780 billion, removing funding for domestic contract production, foreign direct commercial sales, and Taiwan-U.S. weapons co-development. Weng noted that the latest bill, requiring legislative approval before taking effect, would allow the MND to place large long-term orders with local defense contractors and support innovation, enabling them to keep pace with rapidly evolving drone technology.
The three types of unmanned systems would be deployed alongside other firepower assets to conduct saturation attacks against enemy command nodes and lines of communication during the amphibious landing phase of a potential invasion. During a Cabinet meeting on Thursday, Premier Cho Jung-tai instructed the MND to proactively communicate with all legislative caucuses regarding the proposal, which is both "urgent" and "necessary" for safeguarding Taiwan's security, Cabinet spokesperson Michelle Lee said.
