A partisan dispute over the procedural review of Taiwan's proposed $38.5 billion special defense budget threatens to derail critical U.S. weapons procurements, a former U.S. Department of Defense official warned.
The Executive Yuan's proposed budget has been referred to a legislative committee alongside rival versions from the opposition Kuomintang (KMT) and the Taiwan People's Party (TPP). Defense Minister Wellington Koo (顧立雄) criticized the KMT's version on March 6, arguing its procedural logic is flawed. The KMT contends that the legislature cannot legally review a defense budget without first receiving a formal Letter of Offer and Acceptance (LOA) from the U.S. government.
Speaking to Storm Media, former Pentagon official Hu Chen-tung(胡振東) addressed the dispute, warning that the KMT's current approach risks leaving Taiwan unable to procure essential defense systems as the People's Liberation Army (PLA) rapidly expands its arsenal.
The Procedural Gridlock: LOA vs. P&A
Hu explained that insisting on an LOA before beginning legislative reviews fundamentally misunderstands the U.S. Foreign Military Sales (FMS) process and creates an impossible timeline, because the validity periods can only be extended to a maximum of 180 days.
Because the Legislative Yuan typically requires up to a year and a half to complete budget deliberations, waiting for an LOA virtually guarantees Taiwan will miss applicable purchasing deadlines.
Hu clarified that an LOA is not the first indicator of U.S. willingness to sell. Standard procedure dictates that Taiwan first submit a Letter of Request for Price and Availability (LoR for P&A). Once the Pentagon responds with a P&A estimate—adjusted for inflation and specific requirements—it indicates the sale will proceed.
Because P&A replies are typically available 12 to 18 months before an LOA is issued, Hu recommended the legislature use the P&A as the green light to begin budget reviews, providing ample time for deliberation.
Closing Critical Defense Gaps
Hu emphasized that the weapons requested in the Executive Yuan's proposal—developed through joint U.S.-Taiwan threat assessments—are vital for Taiwan's deterrence strategy. He noted the KMT's budget version excludes three critical systems: the Patriot PAC-3, NASAMS, and the Integrated Battle Command System (IBCS).
Hu outlined why these specific systems are necessary to counter Beijing's expanding inventory of Dongfeng-series ballistic missiles.
While Taiwan maintains Patriot and Sky Bow systems for long-range defense and Stinger missiles for short-range coverage, the retirement of the Hawk missile system has created a dangerous mid-range gap. Hu stressed that acquiring NASAMS surface-to-air missiles is urgently needed to fill this vulnerability.
The IBCS, meanwhile, acts as a central nervous system, linking disparate air defense platforms and helping commanders rapidly determine which weapons to deploy under dynamic combat conditions.
The inclusion of the High Mobility Artillery Rocket System (HIMARS), with a range of approximately 300 kilometers (186 miles), provides Taiwan with the capability to strike targets across the Taiwan Strait.
A Shift in U.S. Arms Policy
Hu characterized the U.S. decision to offer systems like HIMARS as a significant policy shift. Historically, Washington restricted sales to strictly short-range, defensive equipment. The current willingness to supply long-range systems reflects a revised U.S. assessment of Taiwan's defensive needs in the face of Chinese President Xi Jinping's increasingly assertive posture.
The dynamic has essentially flipped, Hu noted: whereas Taiwan once lobbied for weapons the U.S. declined to sell, Washington is now offering critical systems that Taiwan's legislature is stalling to purchase.
"The U.S. would not have offered to sell Patriot PAC-3 missiles to Taiwan if there were no credible threat to justify the sale," Hu said. （Related： Taiwan's Retroactive Justice Undermines Rule of Law ｜ Latest ）
