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Taiwan president says he ‘won’t give up’ on defence spending after parliament cuts

By Ann Wang

NEW TAIPEI, Taiwan, June 16 (Reuters) – Taiwanese President Lai Ching-te said on Tuesday he “will not give up” on increasing defense spending after the island’s opposition-majority parliament passed only two-thirds of a $40 billion supplementary budget last month.

Taiwan’s government is prioritizing unmanned aerial vehicles and other asymmetric systems for its military modernization program, but parliament has only approved the purchase of US weapons. He vetoed funds for domestically produced drones and missiles, which Lai wants to better deter China, which sees the democratically governed island as its own territory.

“We will not give up on major cuts in the special national defense budget,” he said in a speech at a military base in New Taipei.

“We will propose separate special legislation or support the armed forces through additional budgets and increases in the annual government budget to ensure the smooth progress of national defense equipment and infrastructure projects.”

Lai wants to increase defense spending from around 3% to 5% of GDP by 2030, in line with the Trump administration’s calls for allies to spend more on their militaries. The United States is Taiwan’s most important international supporter and arms supplier, despite the lack of official diplomatic ties.

Lai said that in the face of “rapidly changing regional conditions”, Taiwan’s military should improve its combat training and make good use of technologies such as unmanned aerial vehicles.

The top US diplomat in Taipei said this month that Taiwan should “spend smarter” on its defense and learn lessons on using drones from Ukraine and Middle East wars to maintain a military balance with China.

Lai also visited key radar stations in the mountains around Taipei on Tuesday that closely monitor Chinese movements.

“I have seen our soldiers monitor air activity around the clock, detect targets in the waters off northern Taiwan, and relay intelligence. Their work provides the most immediate and definitive support for the overall defense response,” he said.

(Reporting by Ann Wang; Writing by Ben Blanchard; Editing by Edwina Gibbs)

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