Author: Joe O’Connor, Shikhar Chaturvedi, Danielle Kremer, and Wyeth Lindberg
This week: the special budget remained frozen as the Kuomintang’s chairwoman visits the PRC; the U.S. House introduced a bill on Taiwan’s undersea cable resilience; two congressional delegations arrived in Taiwan for visits with officials; and NCSIST announced a plan to test low-cost ammunition prototypes, alongside weekly awards and solicitations.
Special Budget Frozen as KMT Chairwoman Visits PRC
Progress on special budget negotiations continued to be frozen this week, as KMT Chairwoman Cheng Li-wun began leading a delegation to the PRC. On April 2, the Legislative Yuan’s Foreign Affairs and National Defense Committee convener, DPP legislator Chen Kuan-ting, reported that KMT members had requested negotiations be delayed until April 15-16. Chen, who had already delayed negotiations until April 9, stated that the DPP caucus does not intend to change its current schedule and will continue with negotiations on the planned date.
DPP legislators criticized KMT counterparts upon hearing of this, with one member, Lin Chu-yin, accusing them of deliberately waiting until after Cheng’s visit and accusing them of trying to delay. Chen, however, attempted to appeal to younger KMT members, who have generally been more supportive of the Lai administration’s proposal than some of their other party members. As of the time of writing, it is assumed that negotiations will continue Thursday.
U.S. House Introduces Bill on Taiwan’s Cable Resilience
On April 2, U.S. Representatives Mike Lawler (R-NY), Dave Min (D-CA), and Greg Stanton (D-AZ) introduced the House version of the Critical Undersea Infrastructure Resilience Initiative Act. Designed to address many of the concerns in the South China Sea, this bill prioritizes establishing advanced monitoring to detect disruptions in real time, strengthening early warning through global intelligence sharing, establishing rapid-response protocols, and expanding coordination to boost resilience. The legislation would also support joint patrols with the U.S. and Taiwanese Coast Guard in the area, as well as the creation of a Cross-Strait Contingency Planning Group to identify vulnerabilities and develop contingency plans. The bill would require the U.S. to pressure China to follow international norms and impose sanctions on those responsible for sabotaging critical undersea systems affecting Taiwan and allies. It is currently in its second stage, waiting to be passed by the United States Senate.
Two U.S. Congressional Delegations Visit Taiwan, Meet with Lai
Following a bipartisan congressional delegation that visited Taiwan at the end of March, two more U.S. legislative delegations arrived in Taiwan this week to meet with government officials. A group of four House members from the Republican Study Committee, consisting of Reps. Zach Nunn (R-IA), Scott Fitzgerald (R-WI), Julie Fedorchak (R-ND), and Jefferson Shreve (R-IN), arrived in Taipei on Sunday, April 5, and are expected to remain until Saturday, April 11. On Tuesday, the delegation attended a Taiwan-U.S. forum on economics and trade, alongside Maryland Secretary of State Susan C. Lee, where the representatives discussed tariffs, trade policy, and investment. On Tuesday, the delegation also met President Lai, who they presented with a congressional record of recognition; and met Minister of National Defense Wellington Koo at MND headquarters, discussing “gray-zone” issues with Taiwan.
A separate, simultaneous visit by U.S. Senator Jim Banks (R-IN), also began Tuesday, where the lawmaker met with President Lai, Legislative Yuan President Han Kuo-yu, and Minister of National Defense Wellington Koo. Banks’ meeting with Lai centered around support for Taiwan and ongoing special budget negotiations, with the senator expressing hope that a budget will be passed soon and comparing Taiwan’s special spending to President Trump’s plans for a US$1.5 trillion defense budget. At the LY, Banks met with President Han Kuo-yu, as well as members from all three political parties in the legislature, and further discussed ways to build consensus in passing the special defense budget. A later meeting with Minister of National Defense Wellington Koo at MND headquarters also reinforced this point, also discussing the U.S. congressional notification procedure for arms sales. In the evening, Banks’ delegation attended a banquet at the Ministry of Foreign Affairs, hosted by Deputy Minister Chen Ming-chi, where the delegation reiterated earlier remarks made, and noted that this visit corresponds with the 47th anniversary of the Taiwan Relations Act, marking an auspicious moment for U.S.-Taiwan affairs.
NCSIST Announces Plan to Test Low-Cost Munitions
According to Liberty Times, the National Chung-Shan Institute of Science and Technology (NCSIST) has developed several types of “low-cost air defense munitions.” One type is made to counter drone swarm attacks, and a second one is designed to defend against enemy missiles and long-range rocket attacks. So far, there has been no further information has been provided on either of the munitions. Both are said to start planned combat testing later in the first half of next year. In addition to the two independently developed defense munitions, NCSIST has signed a contract with a Canadian manufacturer, AirShare, to develop “ribbon rocket systems.” These systems use ribbons that catch enemy drones’ propellers, causing them to lose flight capability, then use a parachute to slow the drone’s descent. The parachute reduces impact damage, specifically so the drone can be recovered intact for reverse engineering. This defense munition is also said to begin testing in the first half of next year.
Weekly Awards/Solicitations
On Thursday, the Armaments Bureau solicited bids for the purchase of road and electrical/mechanical engineering services in support of the Weihai project. The Wehai Project refers to the MND’s years-long project to renovate and upgrade Zuoying Naval Base. The contract is worth NT$5.30 billion (US$165.98 million).
Also on Thursday, the Army Command made a repeat solicitation of bids for official staff vehicles, worth NT$203.32 million (US$6.37 million).
On Wednesday, the Air Force Command’s Military Mission to the United States awarded a NT$88.76 million (US$2.79 million) contract to Integrated Procurement Technologies for the open-ended supply of aviation spare parts. Available evidence suggests that this contractor is providing spare parts for the F-CK-1 Ching-Kuo (otherwise known as the Indigenous Defense Fighter or IDF).