The Cabinet on Thursday approved a draft special act allocating up to NT$210 billion (US$6.6 billion) to procure domestically produced unmanned systems, aiming to bolster asymmetric defense capabilities following earlier budget cuts by the legislature. 

The proposed “Special Act for the Procurement of Autonomous Unmanned Vehicles for National Defense” to be sent to the Legislature would fund purchases from August 1, 2026, to December 31, 2031, through a special budget. Funding could come from prior-year surpluses or government borrowing, with a possible extension subject to legislative approval.

Defense Ministry official Lt. General Huang Wen-chi (黃文啟) said the entire budget would be used for procurement, excluding research and development. Plans include 1,446 coastal surveillance drones, 208,200 coastal attack drones across four types, and 1,320 small suicide unmanned boats – figures consistent with earlier defense planning. 

Huang noted that larger drone R&D projects, Teng Yun II, would be handled separately. On counter-drone capabilities, he cited lessons from Ukraine, stating: “The reason Ukraine has been able to grow so quickly in the Russia-Ukraine war is that it has continuously accumulated experience by employing both counter-drone systems and unmanned systems together, using an iterative approach. In essence, it is the constant mutual development between offense and defense that has enabled rapid gains. As for the C-type counter-drone system, we will continue to review it and consider allocating funding either through a supplementary budget or the 2027 annual government budget.”

Cabinet spokesperson Michelle Lee (李慧芝) said Premier Cho Jung-tai (卓榮泰) warned that legislative cuts to a previously proposed NT$1.25 trillion (US$39.6 billion) defense package created capability gaps. Cho added that the drone sector could drive investment, jobs, and non-China supply chains while strengthening Taiwan’s defense and industrial resilience.