Taiwan Defense Budget Talks Stall Again — KMT Caps at NT$800B vs NT$1.25T; Paparo Warns 'Can't Want Taiwan's Defense More Than They Want It'

Taiwan's cross-party legislative negotiations on the NT$1.25 trillion special defense budget (proposed by President Lai's cabinet) failed again on April 24, 2026 — with another session scheduled for Monday. Party caucuses reached preliminary consensus only on administrative provisions: requiring the Ministry of National Defense to submit special session progress reports to the legislature, and setting the special act's timeframe to run 'from the date of its promulgation until Dec. 31, 2033.' Key divisions remain: the opposition KMT and TPP want to cap the budget at NT$800 billion, viewing the full NT$1.25 trillion as a 'blank check'; the Executive Yuan warned that reduction 'would severely impact military procurement timing and overall effectiveness.' In a remarkable rhetorical escalation, US Indo-Pacific Command chief Admiral Samuel Paparo testified to the US Senate Armed Services Committee on April 22-23 that Taiwan 'must show the resolve to defend itself' to secure US support, using the metaphor: 'It's not a chicken and the egg, because you're not going to get chicken or eggs if you starve the chicken.' A US defense official similarly warned parties to 'work together to pass the defense budget.' The budget standoff is attracting increasing urgency as the Trump-Xi summit (May 14-15, Beijing) approaches — Xi has explicitly called for 'prudence on US arms sales to Taiwan,' and analysts fear any perception of Taiwan legislative dysfunction could bolster PRC arguments that Taiwan does not adequately invest in its own defense. The $14 billion PAC-3/NASAMS package remains on hold pending the summit.