Taiwan Plans Record Military Spending as China Threat Looms

  • Latest budget proposal is first since Lai took office in May
  • Beijing has vowed to bring Taiwan under its control someday

A battle tank participates in the Han Kuang military exercise in New Taipei City, Taiwan in 2023.

Photographer: I-Hwa Cheng/Bloomberg
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Taiwan will spend a record amount on defense next year, boosting its expenditure for eight straight years as it tries to deter an increasingly assertive China.

The cabinet will increase military spending to NT$647 billion ($20.2 billion) next year, an increase of 7.7% from the previous year, according to the budget proposal on Thursday. That accounts for 2.45% of Taiwan’s estimated GDP in 2025, in line with recent years.