AIT Director Presses Taiwan Parliament to Pass 'Comprehensive' Defense Budget; KMT-DPP Deadlock at NT$800B vs. NT$1.25T Continues 17 Days Before Trump-Xi Summit

American Institute in Taiwan (AIT) Director Raymond Greene on April 27, 2026 publicly pressed Taiwan's opposition-majority Legislative Yuan to pass a 'comprehensive' special defense budget — the clearest US diplomatic signal yet that Washington views the ongoing parliamentary deadlock as a strategic liability ahead of the May 14-15 Trump-Xi Beijing summit. Greene's call directly supports President Lai Ching-te's NT$1.25 trillion (approximately $40 billion) supplemental defense budget proposal spanning 2026-2033, which covers HIMARS, M109A7 Paladin self-propelled howitzers, missile stockpile replenishment, anti-tank weapons, and an integrated 'Taiwan Shield' air defense network. The AIT director's public intervention comes after INDOPACOM Commander Admiral Samuel Paparo warned Taiwan lawmakers on April 22-23 that Taiwan 'cannot starve the chicken' on defense spending — the second senior US military official in a week to pressure Taiwan's parliament directly. The cross-party negotiations remain deadlocked: the KMT (main opposition) has moved to a NT$800 billion cap (up from its initial NT$380-400 billion position) while the DPP insists on the full NT$1.25 trillion with detailed procurement timelines. The opposition has demanded greater government transparency on procurement details and performance milestones; the DPP has called this a negotiating tactic to delay passage before the Trump-Xi summit. Beijing is expected to press Trump at the May 14-15 summit for at least a commitment to slow or suspend Taiwan arms sales — making the passage of the defense budget a signal of US-Taiwan alignment in the pre-summit period.