Trump Holds Back $400 Million in Taiwan Aid
President Donald Trump reportedly refused to approve a more than $400 million military aid package for Taiwan in order to open the way for a trade deal with China, according to the Washington Post. The package, which included ammunition and autonomous drones, was rejected this summer, but the decision could still be reversed. The White House has not yet commented, while the US embassy in Taipei referred questions to Washington.
Taiwan's Defense Ministry declined to comment on the unconfirmed package, but expressed gratitude for US support and reiterated its commitment to strengthening defense capacity alongside like-minded partners to deter aggression and maintain regional stability. If confirmed, the aid pause aligns with Trump's efforts to cool tensions with Beijing ahead of his phone call with President Xi Jinping on Friday, which could also be related to the TikTok deal in the US.
Beijing views Taiwan as its territory and regularly protests US arms transfers. Chinese Defense Minister Dong Jun again warned against "external interference" in Taiwan issues at a defense forum in Beijing. The reported aid pause also highlights Trump's transactional foreign policy style—prioritizing allies that finance their own defense and encouraging Taiwan to purchase US weapons, rather than aid through the "presidential drawdown" authority used by previous administrations.
On Taipei's side, President Lai Ching-te increased defense commitments: military spending was increased and special funding was approved for the procurement of additional drones and ships. This move was seen as an attempt to appease Washington and strengthen deterrence amidst the region's strategic dynamics.(ads)
Key points:
Trump reportedly withheld $400 million in arms aid to Taiwan; decision not final.
Taiwan affirms defense commitment; Beijing condemns "external interference."
Maneuvers related to US-China trade deal efforts and TikTok discussions.
Taiwan increases military spending, adds drones and ships.
Source: Bloomberg
