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Taiwan advances $6.6 billion military drone budget ahead of vote

Proposed six-year spending plan seeks to purchase 210,000 drones amid rising regional tensions. Parliament vote scheduled for Thursday.

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Helena Vásquez · Business Desk · 26 Aug 2026 · 19:22 · 1 min read
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Taiwan advances $6.6 billion military drone budget ahead of vote

Taiwan’s government has submitted a six-year special budget proposal totaling T$210 billion ($6.6 billion) to fund the acquisition of approximately 210,000 military drones, as lawmakers prepare for a critical vote on Thursday.

The Ministry of Defence has already outlined plans to spend T$42.1 billion on drones in 2027 alone, reflecting the urgency of the procurement amid evolving warfare tactics observed in Ukraine and the Middle East. The government argues that the rapid deployment of uncrewed systems is essential to counter potential threats from China, with President Lai Ching-te stating the initiative is both a defense buildup and a demonstration of Taiwan’s commitment to self-defense. Defense Minister Wellington Koo has emphasized the need to establish a supply chain independent of China, aligning with earlier parliamentary measures passed this month.

Opposition lawmakers, including Kuomintang senior legislator Lai Shyh-bao, have raised concerns over the scale of the purchases, warning that bulk acquisitions risk obsolescence as drone technology advances. The opposition has proposed a spending cap of T$40 billion annually, drawn from the regular budget rather than the special allocation.

China’s Taiwan Affairs Office spokesperson Zhang Han reiterated Beijing’s stance, asserting that the ‘overwhelming trend towards reunification cannot be stopped.’ The budget proposal comes as Taipei accelerates efforts to bolster asymmetric defense capabilities, with the exchange rate of $1 equaling T$31.8430 as of the proposal’s submission.

This article was produced with AI assistance and edited by a Finance Review Daily journalist.
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Written by
Helena Vásquez
Business Desk

Helena covers corporate news for listed and private companies across Europe, from strategy shifts to leadership changes, with an eye for what a story signals about the broader market.

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