Author: Jaime Ocon
Welcome to the Weekly Security Review, where we highlight key military, security, and political developments around Taiwan in one straightforward summary!
This week, President Lai urges the opposition to pass a $40B special budget, the military considers a live-fire test of ATACMS, and China’s Coast Guard breaches Taiwan’s restricted waters in three separate incidents.
President Lai Holds Press Conference on Special Defense Budget
Taiwan’s President, Lai Ching-te, held a snap press conference on Wednesday, 11 February, to explain the rationale behind the country’s record NT$1.25 trillion (US$40 billion) supplemental defense budget. A spending package that was presented to the Legislative Yuan (LY) in December but has since been blocked more than 10 times by the opposition Taiwan People’s Party (TPP) and Kuomintang (KMT). The press conference began with a plea from President Lai: “National defense cannot wait. Our safety cannot wait. Support for our troops cannot wait.” Lai went on to urge the public to look at what other countries are doing to ensure their security. “Indo-Pacific neighbors have also increased defense spending in reaction to China’s mounting military aggression” Lai added, saying that “Taiwan cannot fall”. Lai’s complete speech can be found here.
Also addressing the news conference was Minister of National Defense Wellington Koo, as well as Vice President Hsiao-Bi Khim and members of the Joint Chiefs of Staff. Minister Koo explained that the budget delay risks a “rupture” in the joint line of defense against China. “In the Indo-Pacific region, especially among the countries in the first island chain, Taiwan plays a critical and almost destined role,” Koo said. At the press conference,Koo repeated that “Taiwan and the U.S. have continued to have intensive talks about what weapons Taiwan needs.”
The press conference comes after months of infighting between the DPP-backed Lai administration and the opposition Kuomintang (KMT) and Taiwan People’s Party (TPP) on the passage of a record-breaking supplemental defense budget. The “Special Act for the Procurement Program to Strengthen Defense Resilience and Asymmetric Capabilities” is worth NT$1.25 trillion (US$40 billion) and would fund various U.S. weapon systems and equipment. A complete breakdown of approved U.S. systems can be found here.
The opposition continues to delay and oppose the bill due to a lack of oversight and reservations about handing over a “blank check” to President Lai. The DPP, however, says the KMT and TPP’s demands are unconstitutional, citing a prior ruling that found requiring the President to provide real-time responses to lawmakers’ questions to be unlawful. Recently, 37 U.S. senators and representatives signed a bipartisan letter, addressed to Taiwan’s opposition party leaders in the KMT and TPP, urging politicians there to sign the deal. The letter included praise for Taiwan’s recent military reforms but also worries about sustaining that momentum. “Nevertheless, we fear that without significant increases in Taiwan’s defense spending at levels reflected in President Lai’s proposed special budget, this progress will be insufficient,” the letter said. Taiwan’s parliament, meanwhile, returns from winter recess at the end of February.
Military Reportedly Prepping Rare ATACMS Live-Fire Test in Late 2026
Taiwan’s military could be gearing up to conduct a rare live-fire test of the Army Tactical Missile System (ATACMS) in the weeks following August’s Han Kuang military exercises, according to Liberty Times.
Every year in the summer, Taiwan’s armed forces conduct live-fire missile tests to ensure the quality of their weapons and also conduct target practice with munitions approaching their expiration date. Last May was the first time that Taiwan conducted a live-fire test of recently delivered HIMARS, firing more than 30 Guided Multiple Launch Rocket Systems (GMLRS) pods. Other munitions like PAC-2 interceptors, Thunderbolt-2000 MLRS rockets, and Land Sword-2 missiles were also fired.
Military officials quoted in the report say that they are looking to verify the performance of recently delivered ATACMS missiles, which can reach targets up to 300 km away. Taiwan has received the first batch of 64 ATACMS missiles in November 2024, originally from a deal notified in 2020. In December 2025, the U.S. approved an additional 420 ATACMS missiles as part of a sale of 82 additional HIMARS systems and munitions. There is, however, no contract or set delivery time for these munitions. Other systems like the Altius-700M loitering munitions might also be incorporated into the annual drill, but Taiwan’s Ministry of National Defense has yet to comment on the future tests.
TSM recently released its January Taiwan Arms Sales Backlog report, which includes a public repository of all publicly announced arms sales, including ATACMS. You can check that out here:
China Steps Up Maritime Pressure With Multiple Coast Guard Intrusions Near Taiwan
It was a busy week for Taiwan’s Coast Guard Administration (CGA) as they saw three separate incidents involving Chinese Coast Guard ships breaching restricted waters near Kinmen. The intrusions are tied for the most in a single week, involving the same Chinese ships with hull nos. 14603, 14529, 14609, and 14530. The CGA said it deployed its own vessels to shadow and intercept China’s Coast Guard ships, as well as issued radio warnings. Each incident averaged roughly two hours of CCG ships breaching Kinmen’s restricted waters. This marks the seventh total incursion into Kinmen’s waters for 2026.
Taiwan’s CGA has been trying to match China’s Coast Guard presence in the seas around the Taiwan Strait and has embarked on an ambitious ship-building initiative to combat China’s grey-zone tactics. Also this week, Taiwan accepted delivery of its newest Anping-class offshore patrol vessel, the Lanyu (蘭嶼艦), the 11th vessel of its type. The ship is equipped for law enforcement, firefighting, and search-and-rescue missions but can also be fitted with Hsiung Feng II and III anti-ship missiles if needed during a conflict.