Taiwan passes KMT drone and defense bill, cabinet to add funding

Aug 29, 2026

Taiwan's opposition-backed law to build up homegrown defense and drone making has passed, and the cabinet is moving fast to pay for it — a win for the defense industry but a sign of continued budget fighting.

  • Parliament passed the KMT version of a bill to boost Taiwan's own defense production and drone industry.
  • The cabinet plans to sign off on it and fold the money into this year's extra spending package due this week.
  • Defense items cut from the government's own trillion-plus defense bill will all be added back through that same package.
  • Next year's main budget was already sent to parliament with no drone money in it, so an amendment will follow.

Outlook: The final amount rests on the premier's sign-off after hearing from the defense ministry this week, with the drone funding likely reviewed alongside next year's budget.

← Latest · Archive