President promulgates defense autonomy legislation

KMT-LED BILL: The DPP said it regrets that the Cabinet’s proposal was not passed, while the KMT said the bill shows Taiwan’s support for the uncrewed vehicle industry

• By Fion Khan / Staff writer, with CNA

• • Add TT as Preferred Source

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President William Lai (賴清德) yesterday promulgated a Chinese Nationalist Party (KMT)-led bill aimed at promoting defense autonomy and the uncrewed vehicle industry, following its passage by the legislature last month.

The Legislative Yuan on Aug. 27 passed the Act on Strengthening Defense Autonomy and Developing the Unmanned Vehicles Industry (強化國防自主暨無人載具產業發展條例), which in principle provides NT$240 billion (US$7.59 billion) over six years, while allowing additional funding subject to legislative approval.

The act directs the Ministry of National Defense to prioritize the procurement of domestically produced “low-cost, high-performance” uncrewed systems.

President William Lai, front, right, inspects equipment during a visit to the army’s Unmanned Systems Training Command in Tainan yesterday.

Photo: Wu Chun-feng, Taipei Times

It requires the central government to, in principle, earmark NT$40 billion annually for six consecutive years, using its general budget to procure uncrewed vehicles to reinforce national defense and drive industrial growth.

The Ministry of Economic Affairs is designated as the competent authority, while the defense ministry is required to oversee matters involving military procurement, the act says.

Premier Cho Jung-tai (卓榮泰) countersigned the bill, as national security and industrial upgrading could not wait, Presidential Office Deputy Secretary-General Xavier Chang (張惇涵) said.

There had been speculation that Cho would not countersign it, as the government had argued that the mandated spending requirements unconstitutionally infringed upon the Executive Yuan’s exclusive prerogative to compile and allocate the national budget.

Taiwan’s uncrewed vehicle industry is taking off, supply chains are beginning to take shape and democratic partners around the world are seeking trusted “non-red supply chains,” Chang said.

At a time when uncrewed vehicle technologies are evolving rapidly, the government must use national demand to create markets, use markets to support research and development, use innovation to drive industrial growth, and ultimately use industrial strength to bolster national defense and safeguard national security, he said.

While the Executive Yuan countersigned the bill, it would uphold two key principles, Chang said.

First, while Article 4 of the act establishes a funding principle, it does not impose a spending cap, he said.

The Executive Yuan will continue to uphold its constitutional authority over budget preparation, allocate funding based on the actual needs of defense force-building and industrial development, and accept legislative oversight, he said.

Second, Article 2 designates the defense ministry as the lead agency for defense-related matters, while Article 12 places the “National Uncrewed Vehicle Industry Development Strategy Special Committee” under the economic ministry, Chang said.

The committee will focus primarily on industrial development, while matters requiring military expertise will remain under the jurisdiction of defense professionals, he said.

The Executive Yuan last week submitted an additional budget proposal for this year that includes NT$55.9 billion for uncrewed vehicle programs, Chang said.

He urged lawmakers to expedite review of the supplementary budget and next year’s central government budget, as the funding is critical to Taiwan’s asymmetric warfare capabilities.

Democratic Progressive Party (DPP) caucus secretary-general Fan Yun (范雲) said the party regrets that the Executive Yuan’s proposal was not the one promulgated, but respects the Executive Yuan’s decision to countersign the bill given the urgency of Taiwan’s defense needs.

The legislation demonstrates Taiwan’s support for the uncrewed vehicle industry and would reinforce international confidence in the feasibility of developing non-China supply chains here, Fan said.

KMT Culture and Communications Committee Director Chen I-hsin (陳以信) said that the act allocates NT$240 billion over six years, exceeding the Executive Yuan’s original proposal of NT$210 billion over five years.

All three military drone procurement programs proposed by the Executive Yuan were incorporated into the legislation, Chen said.

The Executive Yuan’s decision to countersign shows that the KMT’s version does not weaken national defense, but instead provides greater resources and flexibility, while exposing earlier government criticism of the proposal as unfounded, he said.

The premier’s countersignature and the president’s promulgation of legislation passed by the Legislative Yuan are constitutional obligations, Taiwan People’s Party caucus whip Jacky Chen (陳清龍) said, accusing the government of undermining democratic governance and the rule of law by portraying a routine constitutional process as a political favor.

As uncrewed vehicle technologies evolve rapidly, relying on special budgets tied to long-term procurement contracts would leave the military unable to keep pace with operational requirements, and would ultimately weaken, rather than strengthen, the armed forces’ combat capabilities, he said.