TAIPEI (Reuters) – Taiwan will present a supplementary defense budget of $40 billion to emphasize its determination to defend itself in the face of a growing threat from China, President Lai Ching-te said on Wednesday.
China, which considers democratically-ruled Taiwan its own territory, has increased military and political pressure over the past five years to assert its claims, which Taipei vehemently rejects.
As Taiwan faces calls from Washington to spend more on its own defense, reflecting US pressure on Europe, Lai said in August he expected a rise in defense spending to 5% of gross domestic product by 2030.
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Unveiling the T$1.25 trillion (US$39.89 billion) package, Lai said history has proven that trying to compromise in the face of aggression has brought nothing but ‘slavery’.
‘There is no room for concessions regarding national security,’ he said at a press conference at the presidential office.
‘National sovereignty and the fundamental values of freedom and democracy are the foundation of our nation.’
Taiwanese Defense Minister Wellington Koo said the budget, which will run from 2026 to 2033, will cover items such as missiles and drones, as well as the new ‘T-Domo’ air defense system.
