TAIPEI (Taiwan News) — The U.S. has allocated funds in its budget for fiscal year 2025 to assist Taiwan in enhancing its deterrence capabilities.
In the White House budget report released on Monday (March 11), over US$4 billion (NT$125.51 billion) has been set aside “to realize a more free, open, secure, and connected Indo-Pacific that bolsters U.S. alliances and partnerships.” This includes US$2.1 billion in foreign assistance in the Indo-Pacific, including US$100 million “for a standalone request for Taiwan military assistance” and US$20 million for promoting the Indo-Pacific Economic Framework.
This is the first time Taiwan was mentioned in a separate line in the annual budget report, according to the U.S. State Department. “We break out Taiwan for the first time and have a specific line item for it,” Department of State spokesperson Matthew Miller said Monday.
This reaffirms America’s commitment to Taiwan’s security and a free and open Indo-Pacific, Miller said. “We’re very proud of the longstanding security assistance we’ve provided,” he added.
The White House said the Indo-Pacific “is of vital importance to U.S. security and prosperity.” The financial aid will strengthen the U.S.’ role in the region and bolster its alliances and partnerships, it said.
The news comes as Taiwan is facing an increasingly belligerent China. People’s Liberation Army Air Force aircraft entered Taiwan’s air defense identification zone nearly every day and Chinese military vessels are sailing closer to its maritime borders.
Taiwan is set to conduct its 40th Han Kuang exercise, which will test the nation’s ability to protect its critical infrastructure and communications systems, simulate enemy attacks on rear detachments, and combat misinformation to ensure the normal operation of Taiwan's command system amid the fog of war.
China’s aggression has caused concern among U.S. and Japanese military officials. The two militaries carried out the annual "Iron Fist" exercises on Sunday (March 10), simulating the recapture of a remote island on Okinoerabu Island in Kagoshima Prefecture.
