TAIPEI (Taiwan News) — The US State Department on Tuesday said Washington would continue to support Taiwan and bolster its defenses as Taiwan eyes a major new arms deal. 

Reuters reported Tuesday that Taiwan is in discussions with US officials about a deal worth between US$7 billion (NT$229 billion) and US$10 billion. A spokesperson for the US State Department told CNA Tuesday that, “Consistent with the Taiwan Relations Act, the United States will continue to enable Taiwan's self-defense capabilities."

The spokesperson added that, as per policy, the department cannot comment on or confirm any pending arms transfers before formally notifying Congress.

One source said the proposed package would include coastal defense cruise missiles and rockets for the High Mobility Artillery Rocket System. “I would be very surprised if it was less than US$8 billion—somewhere between US$7 billion and US$10 billion,” the source added.

Another source revealed that Taiwan plans to propose a defense budget focusing on precision munitions, air defense upgrades, command and control systems, reserve force equipment, and anti-drone technology. However, the Ministry of National Defense did not provide a specific response to the report.

Since taking office on Jan. 20, Trump has approved arms sales to Japan, Egypt, Kuwait, Israel, and Romania.

In addition, the sources told Reuters that despite broader shifts in US diplomatic positions, Raymond Greene, Director of the American Institute in Taiwan, will remain in his role. Greene has been in position for less than a year.