U.S. Announces Largest-Ever US$567 Million Military Aid Package for Taiwan
On September 29, the United States announced the largest-ever military aid package worth $567 million for Taiwan, issued under the Presidential Drawdown Authority (PDA).
The PDA enables the U.S. to swiftly deliver defense articles and services from U.S. Department of Defense stocks to allied nations and international organizations in crisis situations.
In July 2023, U.S. President Joe Biden’s administration first employed the presidential drawdown to provide a US$345 million military aid package for Taiwan.
In a memorandum issued on September 29, 2024, the White House said President Biden has delegated the U.S. Secretary of State to “direct the drawdown of up to $567 million in defense articles and services of the Department of Defense, and military education and training, to provide assistance to Taiwan.”
However, the memorandum did not provide specific details about this latest package.
In a Defense News report published on September 21, an unnamed U.S. official was quoted as saying the package will “fund training, stockpiles, anti-armor weapons, air defense and multi-domain awareness.”
It will also include drones, which are key to America and Taiwan’s “asymmetric” strategy to defend Taiwan against China’s much larger military, the report said.
The Pentagon is working on a third package of drawdown aid to Taiwan, which the Biden administration plans to complete by the end of its term in January next year, the report added.
References:
[1] Focus Taiwan
[2] Taipei Times
[3] Defense News
U.S., Taiwan “Well-Positioned” to Cooperate on Drones, Chips: AIT Director Greene
The new U.S. de facto ambassador to Taiwan on September 26 said Taiwan and the U.S. are “well-positioned” to build drones of the future, while the ongoing bilateral cooperation in the semiconductor sector is mutually beneficial and not a “zero-sum” game.
Speaking to CNA in his first media interview since taking office as Director of the American Institute in Taiwan (AIT), Raymond Greene reaffirmed the U.S. commitment to helping Taiwan defend itself, adding that Taiwan and the U.S. are well-positioned to collaborate on building a secure defense supply chain, in particular in drone production.
Around the world, people are realizing drones are the future in defense, disaster response, environmental monitoring and fire response, he said.
There’s also a growing realization that the world is “too reliant on a single producer of drones,” as “over 90 percent of consumer drones in the world are produced in China,” Greene said.
“So, there’s a huge focus on how we can diversify the supply chains and create a secure supply chain to meet the demand in a secure way,” he said.
Taiwan and the U.S. are especially “well-positioned” to partner in this field, as both have dynamic drone technology sectors, and because the future of drones is increasingly tied to the use of artificial intelligence (AI), an area where both Taiwan and the U.S. excel, he said.
“No two partners are better placed to lead the world in AI technology than the United States and Taiwan,” Greene said, highlighting the U.S.’ strengths in AI research and development and Taiwan’s leadership in semiconductor manufacturing.
Greene stressed that the ongoing cooperation between the U.S. and Taiwan in the semiconductor sector is mutually beneficial, as it allows the U.S., the world leader in chip design, and Taiwan, the maker of the world’s most advanced chips, to work together.
However, Taiwan, due to its lack of land, human resources and renewable energy, “can’t accommodate all of the demand that we expect in the future, especially given the innovations of AI,” he said.
“Given just the limitations here in Taiwan, I think naturally you’ll see more manufacturing shifting to the United States and other partners,” he said, adding that “I think this will actually increase the overall health of the market. It will increase the resilience.”
“We don’t see this as a zero-sum. In fact, this is going to benefit both sides,” he stressed.
