{"id":44212,"date":"2026-08-26T11:30:33","date_gmt":"2026-08-26T09:30:33","guid":{"rendered":"https:\/\/europeanvalues.cz\/?p=44212"},"modified":"2026-08-26T11:36:10","modified_gmt":"2026-08-26T09:36:10","slug":"taiwans-drone-gamble-defense-budgets-asymmetric-warfare-and-lessons-from-ukraine","status":"publish","type":"post","link":"https:\/\/europeanvalues.cz\/en\/taiwans-drone-gamble-defense-budgets-asymmetric-warfare-and-lessons-from-ukraine\/","title":{"rendered":"Taiwan\u2019s Drone Gamble: Defense Budgets, Asymmetric Warfare, and Lessons from Ukraine"},"content":{"rendered":"\t\t<div data-elementor-type=\"wp-post\" data-elementor-id=\"44212\" class=\"elementor elementor-44212\" data-elementor-post-type=\"post\">\n\t\t\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-53bace7b elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"53bace7b\" data-element_type=\"section\" data-e-type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-248e539f\" data-id=\"248e539f\" data-element_type=\"column\" data-e-type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-4b88e26 elementor-widget elementor-widget-text-editor\" data-id=\"4b88e26\" data-element_type=\"widget\" data-e-type=\"widget\" data-no-translation=\"\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p>Photo: Unsplash.com<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-40337498 elementor-widget elementor-widget-text-editor\" data-id=\"40337498\" data-element_type=\"widget\" data-e-type=\"widget\" data-no-translation=\"\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<style>.elementor-element-40337498{display:none !important}<\/style>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-a8646bb elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"a8646bb\" data-element_type=\"section\" data-e-type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-33ad0da6\" data-id=\"33ad0da6\" data-element_type=\"column\" data-e-type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t<section class=\"elementor-section elementor-inner-section elementor-element elementor-element-38cc2a13 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"38cc2a13\" data-element_type=\"section\" data-e-type=\"section\" data-no-translation=\"\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-inner-column elementor-element elementor-element-63e8a759\" data-id=\"63e8a759\" data-element_type=\"column\" data-e-type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-41e7a6f elementor-widget elementor-widget-text-editor\" data-id=\"41e7a6f\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<h2 style=\"font-weight: 400;\"><strong>What is happening?<\/strong><\/h2><p style=\"font-weight: 400;\">Taiwan\u2019s opposition-controlled Legislative Yuan <a href=\"https:\/\/www.aei.org\/commentary\/china-taiwan-update-august-18-2026\/?utm_campaign=31321370-FDP_Sch%20Pvt%20Blumenthal%20CDOT%20China%20%26%20Taiwan%20Update%20FDP&amp;utm_medium=email&amp;_hsenc=p2ANqtz-8BQQOYIwF1PMKPeArhKIhOmcpq75PwqmAF46k37TdEfPBAPoAX15bLozVKIqKD80-pHi_Dbzg3omIPwLIiKMWZ_9XWV7WwhYlNHPdNAGS7s0fBonE&amp;_hsmi=433796697&amp;utm_content=433796697&amp;utm_source=hs_automation\" target=\"_blank\" rel=\"noopener\">approved<\/a> the <strong>government\u2019s 2026 budget<\/strong> on August 14, authorizing $93 billion in expenditures. The vote came after an <strong>unprecedented 350-day delay <\/strong>since the cabinet first submitted the original proposal. The budget negotiations have unfolded against the backdrop of a political deadlock that has persisted for nearly two years between the ruling Democratic Progressive Party (DPP) and the opposition Kuomintang (KMT) and Taiwan People\u2019s Party (TPP). The opposition parties together hold a majority in the legislature, which has enabled them to effectively block a significant portion of the government\u2019s agenda.<\/p><p style=\"font-weight: 400;\">From the perspective of Taiwan\u2019s security and defense policy, however, several other aspects warrant particular attention. The government\u2019s 2026 budget also <a href=\"https:\/\/www.aei.org\/commentary\/china-taiwan-update-august-18-2026\/?utm_campaign=31321370-FDP_Sch%20Pvt%20Blumenthal%20CDOT%20China%20%26%20Taiwan%20Update%20FDP&amp;utm_medium=email&amp;_hsenc=p2ANqtz-8BQQOYIwF1PMKPeArhKIhOmcpq75PwqmAF46k37TdEfPBAPoAX15bLozVKIqKD80-pHi_Dbzg3omIPwLIiKMWZ_9XWV7WwhYlNHPdNAGS7s0fBonE&amp;_hsmi=433796697&amp;utm_content=433796697&amp;utm_source=hs_automation\" target=\"_blank\" rel=\"noopener\">includes<\/a> almost <em>$2 billion for drone industry development and procurement \u2013 so called <strong>drone budget<\/strong><\/em>. However, more important, a $6,6 billion special package \u2013 also known as<em> <strong>special drone budget<\/strong><\/em> \u2013 continues to stall after protracted negotiations on <a href=\"https:\/\/dominotheory.com\/taiwan-drone-funding-still-in-limbo\/\" target=\"_blank\" rel=\"noopener\">14 competing proposals<\/a> failed to achieve consensus. The DPP favors long-term and stable funding through the <em>special drone budget<\/em>, which it argues offers flexibility and predictability, while the opposition contends that appropriations through annual legislative review would guarantee stricter oversight. Yet, with approval of <em>special drone budget<\/em>, as well as its final scope and structure, hanging in the balance, the KMT has once more been accused of holding <strong>Taiwan\u2019s defense needs\u00a0<em>hostage<\/em><\/strong>\u00a0as part of political wrangling at a moment when time factor can play a crucial role in country&#8217;s sufficient preparedness.<\/p><h2>What is the broader picture?<\/h2><p style=\"font-weight: 400;\">From the perspective of building the island\u2019s defense capabilities, <em>special drone budget<\/em> represents a far more significant item. These expenditures were originally intended to form part of the so-called <strong><em>special defense budget<\/em>,<\/strong> proposed primarily to finance an <strong>unprecedentedly large-scale <\/strong><a href=\"https:\/\/europeanvalues.cz\/en\/chinas-grip-tightens-around-taiwan-washington-sharpens-the-porcupine-spikes\/\" target=\"_blank\" rel=\"noopener\"><strong>arms procurements<\/strong><\/a><strong> from the United States<\/strong>. In an effort to break the political deadlock, however, this component was removed from the proposal, and the government reached an agreement with the opposition that the <em>special drone budget<\/em> would subsequently be negotiated separately. Its purpose differs substantially from that of the already approved <em>drone budget<\/em>. While the latter is primarily focused on developing Taiwan\u2019s domestic drone industry and procuring mainly non-lethal unmanned systems, the <em>special drone budget<\/em> is <a href=\"https:\/\/www.aei.org\/commentary\/china-taiwan-update-august-18-2026\/?utm_campaign=31321370-FDP_Sch%20Pvt%20Blumenthal%20CDOT%20China%20%26%20Taiwan%20Update%20FDP&amp;utm_medium=email&amp;_hsenc=p2ANqtz-8BQQOYIwF1PMKPeArhKIhOmcpq75PwqmAF46k37TdEfPBAPoAX15bLozVKIqKD80-pHi_Dbzg3omIPwLIiKMWZ_9XWV7WwhYlNHPdNAGS7s0fBonE&amp;_hsmi=433796697&amp;utm_content=433796697&amp;utm_source=hs_automation\" target=\"_blank\" rel=\"noopener\">intended to finance<\/a> the acquisition of more than 200,000 loitering munitions, approximately 1,500 reconnaissance drones, and around 1,300 additional unmanned systems. The ruling DPP is thus betting on the assumption that, in the event of an attempt by the People\u2019s republic of China (PRC) to alter the status quo in the Taiwan Strait, the mass deployment of drones could <strong>significantly complicate Chinese military operations.<\/strong> The objective would be, above all, to saturate the battlefield with vast number of inexpensive unmanned systems, disrupt the adversary\u2019s ability to effectively exploit its numerical superiority, and raise the costs and risks of a potential attack to such an extent that Beijing would be unable to bring Taiwan under military control. Unlike on the Ukrainian battlefield, however, the key battles would likely be fought at sea.<\/p><p style=\"font-weight: 400;\">The fact that the <em>drone budget<\/em>\u00a0was approved in its original form was, however, a surprise to some observers, as it is one of the few issues on which the government has reached common ground with the opposition. The decisive role in securing this initial agreement had to be eventually played by lawmakers from KMT, a party that has repeatedly drawn criticism from both domestic political opponents and foreign observers for <strong>turning national security into an instrument of partisan politics<\/strong>. One source of contention over drone spending \u2013 including <em>special drone budget<\/em> \u2013 has been reportedly the KMT\u2019s\u00a0<a href=\"https:\/\/www.economist.com\/international\/2026\/08\/11\/taking-taiwans-democracy-hostage\" target=\"_blank\" rel=\"noopener\">concern<\/a>\u00a0that a significant share of the companies expected to receive government\u2019s drone funding are politically aligned with the ruling DPP. At the same, firms considered close to the KMT often maintain substantial investments in the PRC, which could effectively disqualify them from competing for these funds.<\/p><p style=\"font-weight: 400;\">The broader security context is, however, more important. Taiwan is facing significant pressure from Beijing, with Chinese vessels <a href=\"https:\/\/www.aei.org\/commentary\/china-taiwan-update-august-14-2026\/\" target=\"_blank\" rel=\"noopener\">permanently operating around the island<\/a>, while carrying out an almost <strong>continuous range of hybrid maritime operations<\/strong>. Their objective is, among other things, to gradually <strong>normalize China\u2019s presence in the surrounding waters<\/strong> and create the perception that the PRC legitimately exercises jurisdiction in the area. Taipei also faces growing pressure from the international community, particularly from the administration of U.S. President Donald Trump, which has <a href=\"https:\/\/www.reuters.com\/world\/china\/pentagon-nominee-backs-trump-call-10-taiwan-defense-spending-2025-10-07\/\" target=\"_blank\" rel=\"noopener\">repeatedly made clear<\/a> that Taiwan must do more to strengthen its own defense. It is therefore likely that the KMT softened some of its original demands for a combination of political, security, and diplomatic reasons.<\/p><p style=\"font-weight: 400;\">The logic of asymmetrical warfare also underpins Taiwan\u2019s newly announced cooperation with the US in the field of unmanned technologies. U.S. startup Vatn Systems and Taiwan\u2019s state-backed weapons manufacturer, NCSIST, have <a href=\"https:\/\/www.scmp.com\/news\/china\/military\/article\/3364328\/taiwan-teams-us-start-underwater-drones-boost-islands-defences\" target=\"_blank\" rel=\"noopener\">signed a memorandum<\/a> of understanding <strong>covering the local mass production of modular S12 unmanned underwater vehicles (UUVs),<\/strong> as well as AI-enabled command-and-control systems. Once again, the central premise is to prioritize quantity, with a goal of manufacturing relatively inexpensive systems at scale, allowing Taiwan to field them in numbers that would be difficult for an adversary to effectively neutralize. These systems, however, are designed to serve a dual purpose. During periods of heightened tension, they could significantly improve Taiwan\u2019s ability to monitor the activities of the Chinese navy and coast guard, while also helping detect threats to critical undersea infrastructure, including submarine cables. In the case of an open conflict, however, their primary mission would be to help deny the PRC the ability to establish and maintain control over the Taiwan Strait.<\/p><h2>Why does it matter?<\/h2><p style=\"font-weight: 400;\">Taiwan already has its own indigenous UUV programs, but cooperation with U.S. companies could introduce a different model centered on <strong>lower-cost systems that can be produced at scale<\/strong>. How effective a mass deployment of UUVs would prove in an actual maritime campaign, however, remains an open question. The concept has yet to be tested in a real-world conflict. Ukraine\u2019s experience nevertheless suggests that drones can serve as a critical tool for successfully defending against an adversary with overwhelming numerical and material superiority. Building a robust domestic drone industry will therefore be one of the key elements of Taiwan\u2019s security and defense \u2013 or so-called porcupine \u2013 strategy in the years ahead and could offer democratic countries a <strong>competitive alternative to China\u2019s world-leading drone industry<\/strong>. Sufficient and sustained drone funding will be essential to its successful development. This makes it particularly important whether, when, and to what extent Taiwan\u2019s political parties can reach agreement on the approval of the <em>special drone budget<\/em>.<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<\/div>\n\t\t","protected":false},"excerpt":{"rendered":"<p>Photo: Unsplash.com Foto: Unsplash.com What is happening? Taiwan\u2019s opposition-controlled Legislative Yuan approved the government\u2019s 2026 budget on August 14, authorizing $93 billion in expenditures. The vote came after an unprecedented 350-day delay since the cabinet first submitted the original proposal. The budget negotiations have unfolded against the backdrop of a political deadlock that has persisted [&hellip;]<\/p>\n","protected":false},"author":19,"featured_media":44195,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[500],"tags":[552],"class_list":["post-44212","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-articles","tag-ondrej-malek"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v28.3 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Taiwan\u2019s Drone Gamble: Defense Budgets, Asymmetric Warfare, and Lessons from Ukraine - European Values Center for Security Policy<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/europeanvalues.cz\/en\/taiwans-drone-gamble-defense-budgets-asymmetric-warfare-and-lessons-from-ukraine\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Taiwan\u2019s Drone Gamble: Defense Budgets, Asymmetric Warfare, and Lessons from Ukraine - European Values Center for Security Policy\" \/>\n<meta property=\"og:description\" content=\"Photo: Unsplash.com Foto: Unsplash.com What is happening? 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Taiwan\u2019s opposition-controlled Legislative Yuan approved the government\u2019s 2026 budget on August 14, authorizing $93 billion in expenditures. The vote came after an unprecedented 350-day delay since the cabinet first submitted the original proposal. The budget negotiations have unfolded against the backdrop of a political deadlock that has persisted [&hellip;]","og_url":"https:\/\/europeanvalues.cz\/en\/taiwans-drone-gamble-defense-budgets-asymmetric-warfare-and-lessons-from-ukraine\/","og_site_name":"European Values Center for Security Policy","article_published_time":"2026-08-26T09:30:33+00:00","article_modified_time":"2026-08-26T09:36:10+00:00","og_image":[{"width":2160,"height":1136,"url":"https:\/\/europeanvalues.cz\/wp-content\/uploads\/2026\/08\/drone_web.png","type":"image\/png"}],"author":"K\u00e1ja Kabe\u0161ov\u00e1","twitter_card":"summary_large_image","twitter_misc":{"Written by":"K\u00e1ja Kabe\u0161ov\u00e1","Est. reading time":"9 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"Article","@id":"https:\/\/europeanvalues.cz\/taiwans-drone-gamble-defense-budgets-asymmetric-warfare-and-lessons-from-ukraine\/#article","isPartOf":{"@id":"https:\/\/europeanvalues.cz\/taiwans-drone-gamble-defense-budgets-asymmetric-warfare-and-lessons-from-ukraine\/"},"author":{"name":"K\u00e1ja Kabe\u0161ov\u00e1","@id":"https:\/\/europeanvalues.cz\/en\/#\/schema\/person\/1dad131c1c5d60a777b1a204a2c2605c"},"headline":"Taiwan\u2019s Drone Gamble: Defense Budgets, Asymmetric Warfare, and Lessons from Ukraine","datePublished":"2026-08-26T09:30:33+00:00","dateModified":"2026-08-26T09:36:10+00:00","mainEntityOfPage":{"@id":"https:\/\/europeanvalues.cz\/taiwans-drone-gamble-defense-budgets-asymmetric-warfare-and-lessons-from-ukraine\/"},"wordCount":2515,"publisher":{"@id":"https:\/\/europeanvalues.cz\/en\/#organization"},"image":{"@id":"https:\/\/europeanvalues.cz\/taiwans-drone-gamble-defense-budgets-asymmetric-warfare-and-lessons-from-ukraine\/#primaryimage"},"thumbnailUrl":"https:\/\/europeanvalues.cz\/wp-content\/uploads\/2026\/08\/drone_web.png","keywords":["Ond\u0159ej M\u00e1lek"],"articleSection":["Articles"],"inLanguage":"en-US"},{"@type":"WebPage","@id":"https:\/\/europeanvalues.cz\/taiwans-drone-gamble-defense-budgets-asymmetric-warfare-and-lessons-from-ukraine\/","url":"https:\/\/europeanvalues.cz\/taiwans-drone-gamble-defense-budgets-asymmetric-warfare-and-lessons-from-ukraine\/","name":"Taiwan\u2019s Drone Gamble: Defense Budgets, Asymmetric Warfare, and Lessons from Ukraine - 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