KMT and TPP Seek Common Ground on Drone Bill: TPP Insists on No Budget Cap

Aug 23, 2026

Taiwan's opposition parties are pushing a new drone-industry law through the legislature this week, and they still disagree on whether to cap the spending — a fight that matters for the island's defense buildup and its domestic drone makers.

  • The Taiwan People's Party wants no spending number written into the law, saying that leaves the government room to budget year by year.
  • The KMT wants roughly NT$240 billion over six years; the cabinet's own version sits near NT$210 billion.
  • Both opposition parties agree the law must exclude Chinese-made parts from the supply chain.
  • The push follows allegations that a Taiwanese supplier won government drone contracts using Chinese-made components, raising doubts about the "non-red supply chain" policy.
  • More than a dozen competing drafts go to cross-party talks in two days, with a floor vote targeted for Friday.

Outlook: A final version will likely pass only if the two opposition parties settle the spending-cap question and agree on a dedicated oversight committee before the vote.

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