Taiwan's legislature approved a six-year, NT$240 billion push into homegrown defense and unmanned vehicles, good news for local drone makers and for Kaohsiung, which wants to become the industry's hub.

• The final bill is bigger than the NT$210 billion the cabinet first proposed, spreading the money over six years.
• Kaohsiung mayoral candidate Ko Chih-en wants the funding steered to her city, pitching it as a global base for smart sea and air drones.
• The law sets three main conditions: yearly budgets with oversight, joint control by the economics and defense ministries, and keeping the technology in Taiwan.
• Kaohsiung is selling its aerospace and precision manufacturing clusters in Gangshan and Luzhu, plus chips, AI, batteries and local universities, as ready-made supply chain.
• A US delegation visit already led to a drone business matchmaking event held in the city this month.

Outlook: Expect a fight between Taiwanese cities over where the money and a planned national drone and unmanned boat testing base end up.