The Chinese Nationalist Party (KMT) caucus in the Legislative Yuan has made an internal decision to freeze NT$1.8 billion (US$54.7 million) of the indigenous submarine project’s NT$2 billion budget. This means that up to 90 percent of the budget cannot be utilized. It would only be accessible if the legislature agrees to lift the freeze sometime in the future.
However, for Taiwan to construct its own submarines, it must rely on foreign support for several key pieces of equipment and technology. These foreign supporters would also be forced to endure significant pressure, infiltration and influence from Beijing. In other words, even if Taiwan offers significant financial incentives, it is still uncertain whether this foreign support could continue to exist. There might come a day when they suddenly back out. Now that 90 percent of the program’s funding is up in the air would foreign support persevere in such an uncertain environment?
The irony is that, to form a delegation to congratulate US president-elect Donald Trump on his inauguration, there have been reports that it has been difficult to coordinate the number of participants within the KMT because there are so many interested parties. However, what Trump has cared about most as of late with regard to Taiwan — which he has frequently mentioned — is that he believes Taiwan should greatly increase its national defense spending. In light of this contrast, one cannot help but wonder: Could freezing the submarine budget be the KMT’s way of preparing a congratulatory gift for Trump ahead of his inauguration?
Huang Wei-ping works in public service and has a master’s degree from the Fletcher School of Law and Diplomacy at Tufts University in Massachusetts.
Translated by Kyra Gustavsen
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