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Press Releases U.S. Government

USTBC Comments on the Proposed FMS in Support of Taiwan Participation in Patriot IESP & FSP

Press Release:
The US-Taiwan Business Council Comments on the Proposed Foreign Military Sale to Taiwan of Equipment and Services to Support Participation in Patriot IESP and FSP

(Arlington, Virginia, February 7, 2022)

The US-Taiwan Business Council today welcomed the announcement of a possible Foreign Military Sale of equipment and services to support Taiwan’s participation in the Patriot International Engineering Services Program (IESP) and Field Surveillance Program (FSP) for five years, at an estimated cost of US$100 million. The Defense Security Cooperation Agency (DSCA) delivered the required certifications notifying Congress of the proposed Taiwan arms sale on February 7, 2022.

The published Congressional Notification (transmittal number 21-66) is for engineering services support designed to sustain, maintain, and improve the Patriot Air Defense System in Taiwan. It includes missile field surveillance support for legacy (Guidance Enhanced Missile (GEM)) and Patriot Advanced Capability-3 (PAC-3) missiles, to ensure the reliability and performance of the Patriot missile through storage and aging programs, surveillance firing programs, and configuration management. It is also for legacy and PAC-3 missile stockpile reliability testing, to provide quantitative reliability assessments of the deployed missile round. The potential sale also includes engineering, technical, and logistics support, as well as other related elements of program support. Participation in the shared IESP and FSP for the life of the Patriot system is a requirement of the U.S. government.

Council President Rupert Hammond-Chambers said: “The Biden Administration’s commitment to ensure that Taiwan’s military equipment is well supported and maintained is welcome. While ongoing force modernization is essential to combat the growing threat from China, maintenance of Taiwan’s existing equipment is similarly crucial. Taiwan and the U.S. should also seek to integrate Taiwan’s missile defense capabilities into America’s regional architecture, including cooperation with allies such as Japan and Australia.

Source: See the DSCA website at https://www.dsca.mil/press-media/major-arms-sales

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Press Releases U.S. Government

The US-Taiwan Business Council Welcomes the Sale to Taiwan of 40 150mm M109A6 Paladin Self-Propelled Howitzers for US$750 million

(Arlington, Virginia, August 4, 2021)

The US-Taiwan Business Council today welcomed the announcement of a possible Foreign Military Sale of 40 155mm M109A6 Paladin Medium Self-Propelled Howitzer Systems and related equipment to Taiwan at an estimated cost of US$750 million. The Defense Security Cooperation Agency (DSCA) delivered the required certifications notifying Congress of the proposed Taiwan arms sale on August 4, 2021.

The published Congressional Notification (transmittal number 21-44) is for 40 155mm M109A6 Medium Self-Propelled Howitzer Systems; 20 M992A2 Field Artillery Ammunition Support Vehicles (FAASV); 1 Advanced Field Artillery Tactical Data System (AFATDS); 5 M88A2 Hercules vehicles; 5 M2 Chrysler Mount .50 caliber machine guns; and 1,698 multi-option, Precision Guidance Kits (PGK). Also included are M109A6/M992A2 overhaul, conversion and refurbishment services, along with additional equipment, testing, software and technical documentation, technical assistance, engineering, storage, and other related elements of technical, logistics, and program support.

Taiwan already operates older M109A2 and M109A5 variants of the Paladin, and holds M110A2 self-propelled howitzers and towed M114 howitzers in its existing inventory. The M109A6 provides enhanced armor and improved survivability over the older variants, and features a reduction in the time required for set up and fire.

Council President Rupert Hammond-Chambers said: “This notification for the M109A6 Paladin program is the first Taiwan arms sale under the Biden Administration. It serves as a timely reminder of the close national security partnership between the United States and Taiwan, particularly as the PRC is now violating the Taiwan AIDZ on a near daily basis. We expect to continue seeing normalized, timely, and regular arms sales from the U.S. that promote Taiwan’s military readiness. We also hope to see additional offers from the Biden Administration of new capabilities for Taiwan, to both help expand its current military posture and to continue improving its multilayered self-defense capacity.

The US-Taiwan Business Council would also like to recognize the work of our dearly departed friend and former Board Member Greyson T. Bassett on this program.

Press Note: The words “package” and “packaging” often refer to slowing/stacking Taiwan arms sales notifications and sending them to Congress as a group, instead of individually forwarding them to Congress when they are ready. This was a common practice from 2007 to 2017, and resulted in large and irregular arms sales packages. The word “program” is preferred for items released in one Congressional notification.

Source: See the DSCA website at https://www.dsca.mil/press-media/major-arms-sales

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Past Events

June 7, 2021 – Virtual Taiwan-US Defense Business Forum

The US-Taiwan Business Council and the Taiwan Defense Industry Development Association (TW-DIDA) will co-host the virtual 2021 Taiwan-US Defense Business Forum (台美國防產業論壇) on June 7, 2021 to discuss granular issues of bilateral cooperation in the defense industry supply chain.

This year, we will discuss ways to expand U.S.-Taiwan co-development and co-production in the defense sector beyond a strict seller/buyer relationship, as well as potential new ways for U.S. companies to interact with the Taiwan-based defense community. We will also talk about U.S.-Taiwan cybersecurity cooperation.

Please see the event information page on www.us-taiwan.org to learn more and to apply to attend.

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Air Force Army Navy Taiwan Government

Taiwan’s National Defense Organization (2019)

The organization chart for the Taiwan government's national defense command structure (2019).
The organization chart for the Taiwan government’s national defense command structure (2019).

Source:

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Press Releases U.S. Government

The US-Taiwan Business Council Welcomes the Proposed Sale of 66 F-16 Block 70 Fighter Jets to Taiwan, an Arms Sale Years in the Making


The US-Taiwan Business Council (USTBC) today welcomed the announcement of a possible U.S. Foreign Military Sale of 66 F-16 Block 70 fighter jets to Taiwan for a total estimated value of US$8 billion. The Defense Security Cooperation Agency (DSCA) delivered the required certification notifying Congress of the proposed Taiwan sale on August 20, 2019.
 
The F-16 Block 70 is the most advanced variant of the F-16 Fighting Falcon multirole fighter. The F-16 Block 70 allows for improved interoperability, and integrates advanced capabilities including an Active Electronically Scanned Array (AESA) radar, a state of the art electronic warfare suite, and upgraded avionics.
 
Today’s Congressional Notification (transmittal number 19-50) included the 66 F-16 aircraft, 75 F110 General Electric Engines, 75 Link-16 Systems, 75 Improved Programmable Display Generators (iPDG), 75 APG-83 Active Electronically Scanned Array (AESA) Radars, 75 Modular Mission Computers 7000AH, 75 LN-260 Embedded GPS/INS, and 75 M61 Vulcan 20mm Guns. At a quantity of 75, each item comes with 9 spares.
 
The notification also included 138 LAU-129 Multipurpose Launchers, 18 of various FMU Fuze systems for Guided Bombs, 6 MK-82 Filled Inert Bombs for Guided Bombs, 3 KMU-572 Joint Direct Attack Munition (JDAM) Tail Kits, GBU-38/54, along with numerous other related equipment and logistics, program, and sustainment support.
 
This proposed arms sale will allow Taiwan to field a modern and capable fleet of fighter aircraft in sufficient numbers to meet the evolving military threat from China. Taiwan’s Air Force has indicated that it will increase the number of tactical fighter wings from seven to eight after receiving the new aircraft.
 
USTBC has spent more than a decade advocating for the United States to sell additional F-16s to Taiwan, publishing several reports on Taiwan’s need for new-build fighter jets. The 66 new F-16 Block 70s will help close the looming fighter gap by addressing both quantitative and qualitative challenges faced by the Taiwan Air Force, and the sale will significantly improve Taiwan’s air defenses.
 
Council President Rupert Hammond-Chambers commented that “the sale of F-16 Block 70 fighters is the most important arms sale to Taiwan since the 2001 commitments by the Bush Administration. The modernization of the fleet by these new planes has several significant benefits. 1) The consolidation of the Taiwan fighter force around a single platform, given Taiwan’s ongoing upgrade of its legacy F-16 fleet to the same variant. 2) The consummate reduction in operating and maintenance costs realized by simplifying the fighter fleet. 3) The reduction in the mean age of the fleet, which should raise the operational and availability rates for the overall Taiwan fighter force. 4) A platform that will significantly improve interoperability amongst Taiwan forces. 5) A bridge to potential future purchases of fifth-generation fighters like the F-35.
 
Hammond-Chambers went on to say, “The policy significance of this sale should not be overlooked. For 20+ years the People’s Republic of China (PRC) has had an over-weighted role in U.S. deliberations around arms sales to Taiwan. That included the Bush Administration in 2006, when Taiwan’s original request for new F-16s was rejected over fears of the PRC’s response. Since then, the PRC has effectively limited – through threats and coercion – what the U.S. would consider for sale to Taiwan and the timeline for such sales. This approach immeasurably damaged Taiwan’s security, and negatively impacted the interests of the U.S. in Asia. The rejection of PRC coercion – along with rejecting its stated “red lines” over certain capabilities such as new F-16s – fully restores American security interests related to Taiwan arms sales, and removes PRC considerations from the ongoing development of American and Taiwan joint security interests.

http://www.us-taiwan.org/pressrelease/2019august20congressionalnotificationf-16armssaletotaiwan.pdf

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Press Releases U.S. Government

The US-Taiwan Business Council Comments on the July 8, 2019 U.S. Arms Sales to Taiwan of M1A2 Abrams MBTs & Stinger Missiles

The US-Taiwan Business Council today welcomed the announcement of two possible Foreign Military Sales of M1A2 Abrams Main Battle Tanks (MBT), Stinger Missiles, and related equipment and support to Taiwan for a total estimated value of US$2 billion. The Defense Security Cooperation Agency (DSCA) delivered the required certifications notifying Congress of the proposed Taiwan arms sales on July 8, 2019.

The published Congressional Notifications (transmittal numbers 19-21 and 19-22) are for a total value of approximately US$2 billion, with the Stinger Missiles at an estimated cost of US$223.56 million.

The first notification includes 108 M1A2T Abrams Tanks; 14 M88A2 HERCULES Vehicles; 16 M1070A1 Heavy Equipment Transporters (HET); 338 M2 Chrysler Mount and M240 Machine Guns; a variety of munitions and other equipment and services; as well as program logistics and additional support. The second notification includes 250 Block I -92F MANPAD Stinger anti-aircraft missiles and 4 Block I -92F MANPAD Stinger Fly-to-Buy missiles, along with related equipment and support.

The 108 M1A2 Abrams MBTs appear destined for the 6th Army Corps’ two armored battalions stationed in northern Taiwan. The new tanks will replace some of Taiwan’s existing M60A3 Patton and CM-11 Brave Tiger tanks in service with the Taiwan Army, as part of a refresh of some of its older existing equipment.

The US-Taiwan Business Council is encouraged by these Congressional notifications. Despite initial concerns over the efficiency of the M1A2 Abrams platform on Taiwan’s coastal wetlands and in its mountains, the U.S. has provided the Taiwan military with the equipment it has requested, trusting to Taiwan war planners and military strategists to make their own determination of Taiwan’s needs.

Council President Rupert Hammond-Chambers said that “these tanks and missiles will provide the Taiwan army with a modern capability to deter and complicate the operational planning of the People’s Liberation Army (PLA) forces that coerce and threaten Taiwan. They will also offer new opportunities to engage in cooperation with the United States in both the deployment and operations phases, and to maximize the effectiveness of the equipment.

Hammond-Chambers went on to say, “the Trump Administration recognizes that even at a time of higher tensions in the U.S.-China relationship, the U.S. providing material support for Taiwan’s ongoing force modernization should not be predicated on U.S.-China priorities. The Administration has made a commitment to regularize and normalize the arms sales process to Taiwan, and today’s announcement is a testament to that commitment. It is a sound and responsible policy that will maximize the deterrent nature of a modern, well-equipped Taiwan military capable of complicating and deterring any actions by the PLA.

http://www.us-taiwan.org/pressrelease/2019july08congressionalnotificationsarmssalestotaiwan.pdf

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News U.S. Government

2019 – Military and Security Developments Involving the People’s Republic of China

The U.S. Department of Defense has released its annual report to Congress on the military power of China.

Reorganizing for Operations along China’s Periphery

China’s overall strategy toward Taiwan continues to incorporate elements of both persuasion and coercion to hinder the development of political attitudes in Taiwan favoring independence. Taiwan lost three additional diplomatic partners in 2018, and some international fora continued to deny the participation of representatives from Taiwan. Although China advocates for peaceful unification with Taiwan, China has never renounced the use of military force, and continues to develop and deploy advanced military capabilities needed for a potential military campaign.

Military Strategy and Doctrine

Taiwan persistently remains the PLA’s main “strategic direction,” one of the geographic areas the leadership identifies as having strategic importance, in authoritative military publications. Other strategic directions include the East China Sea, the South China Sea, and China’s borders with India and North Korea. PLA reforms have oriented each new theater command toward a specific strategic direction.

China’s Strategy and Capabilities Development in the Taiwan Strait

China appears prepared to defer the use of military force as long as it believes that unification with Taiwan over the long-term remains possible and the costs of conflict outweigh the benefits. China argues the credible threat of force is essential to maintain the conditions for political progress and prevent Taiwan from making moves toward independence.

For decades, China has refused to renounce the use of force to resolve the Taiwan issue. Simultaneously, China’s leaders proclaim their desire for peaceful unification under the principle of “one country, two systems,” as emphasized in President Xi Jinping’s addresses opening the CCP’s 19th Party Congress.

The circumstances under which the mainland has historically warned it would use force have evolved over time. These circumstances have included:

  • Formal declaration of Taiwan independence
  • Undefined moves toward Taiwan independence
  • Internal unrest in Taiwan
  • Taiwan’s acquisition of nuclear weapons
  • Indefinite delays in the resumption of
    cross-Strait dialogue on unification
  • Foreign intervention in Taiwan’s internal
    affairs and
  • Foreign forces stationed on Taiwan.

Key Takeaways

Key takeaways listed in the report include:

  • The Eastern Theater Command is oriented toward Taiwan and the East China Sea.
  • Relations between China and Taiwan remained cool through 2018.
  • Bowing to Chinese pressure, the Dominican Republic, Burkina Faso, and El Salvador switched diplomatic relations from Taipei to Beijing.
  • The PLA continued Taiwan Strait contingency preparations.
  • Although China advocates for peaceful unification with Taiwan, China has never renounced the use of military force; the circumstances under which China has historically warned it would use force remain ambiguous and have evolved over time.
  • China has an array of options for a Taiwan campaign, ranging from an air and maritime blockade to a full-scale amphibious invasion to seize and occupy some or all of Taiwan or its offshore islands.
  • PLA services and support forces continue to improve training and acquire new capabilities for a Taiwan contingency, but there is no indication China is significantly expanding its landing ship force necessary for an amphibious assault on Taiwan.
  • Taiwan’s advantages continue to decline as China’s modernization efforts continue.
  • To counter China’s improving capabilities,Taiwan is developing new concepts and capabilities for asymmetric warfare.
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Air Force Information U.S. Government

The US-Taiwan Business Council Comments on the April 15, 2019 U.S. Arms Sale to Taiwan

The US-Taiwan Business Council Comments on the Proposed Foreign Military Sale to Taiwan of F-16 Pilot Training & Maintenance/Logistics Support

The US-Taiwan Business Council today welcomed the announcement of a possible Foreign Military Sale of F-16 Pilot Training and Maintenance/Logistics Support to Taiwan at an estimated cost of US$500 million. The Defense Security Cooperation Agency (DSCA) delivered the required certifications notifying Congress of the proposed Taiwan arms sale on April 15, 2019.

The published Congressional Notification (transmittal number 19-11) is for the continuation of a pilot training program and maintenance/logistics support for F-16 aircraft currently at Luke Air Force Base, Arizona, to include flight training; participation in approved training exercises; inert/dummy training munitions; supply and maintenance support; spares and repair parts; support equipment; program management; publications; documentation; personnel training and training equipment; fuel and fueling services; engineering, technical, and logistics support services; and other related elements of program and logistical support necessary to sustain a long-term CONUS training program.[1]

Council President Rupert Hammond-Chambers noted that “the announcement of an arms sale today, the ongoing pilot training, maintenance and logistics of Taiwan’s F-16 aircraft at Luke Air Force Base, is a timely reminder of the ongoing relevance of the Taiwan Relations Act which is being celebrated for its 40th anniversary this week. The Trump Administration is continuing to provide timely and regular arms sales in support of Taiwan’s ongoing military readiness.

[1] See the DSCA website at http://www.dsca.mil/major-arms-sales

https://www.dsca.mil/major-arms-sales/taipei-economic-and-cultural-representative-office-united-states-tecro-conus-based 

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Press Releases U.S. Government

The US-Taiwan Business Council Comments on the September 24, 2018 U.S. Arms Sale to Taiwan

The US-Taiwan Business Council today welcomed the decision by the U.S. Department of State to announce its approval of a possible Foreign Military Sales Order (FMSO) to Taiwan for an estimated value of US$330 million. The Defense Security Cooperation Agency (DSCA) delivered the required certifications notifying Congress of the proposed Taiwan arms sale on September 24, 2018.

The published Congressional Notification (transmittal number 18-09) is for an FMSO II that would provide funds for blanket order requisitions – under a Cooperative Logistics Supply Support Arrangement – for stock replenishment supply of standard spare parts and repair/replace of spare parts in support of the F-16, C-130, F-5, Indigenous Defense Fighter (IDF), all other aircraft systems and subsystems, and other related elements of logistics and program support.

The US-Taiwan Business Council is encouraged by this Congressional notification, which appears to move away from the previous “bundling” method for Taiwan arms sales. Notifying each sale when it is ready is a positive development, and indicates more potential activity at the end of this year and into early 2019. It is the approach the Council has advocated for since the original bundling began in 2008.

Real issues remain, however, with Taiwan’s ability to ask for the defensive systems it wants and needs. Since 2011, U.S. arms sales have focused almost exclusively on sustainment and maintenance of Taiwan’s existing military capabilities. There has seemingly been no willingness by the U.S. to assess new capabilities for Taiwan, with requests for new systems apparently rejected or deterred prior to the initial stages of evaluation.

New arms sales requests by Taiwan should be subject to an interagency assessment that includes the National Security Council, the U.S. Department of Defense, the U.S. Department of State, the Indo-Pacific Command, the American Institute in Taiwan, and other organizations. All such requests should be evaluated on their merits only, with potential Chinese reactions to a sale not a part of the calculus.

“Intelligent” Requests
In speeches and other statements, the State Department has discussed the need for “intelligent” arms sales, which leave unanswered questions both about the criteria for arms sales and the existing process. Is Taiwan free to make any request, or only those deemed “intelligent?” Who makes the determination of what is “intelligent,” and at what stage in the review process does this determination take place?

Council President Rupert Hammond-Chambers noted that “the Trump Administration’s stated policy is that Taiwan may submit a Letter of Request (LoR) for Pricing & Availability (P&A) data for any platform or system Taiwan feels they need to mount a credible defense, and it is entitled to receive a full assessment and timely response to their request by the full interagency review process.

Hammond-Chambers added, “This gets at the heart of normalizing the arms sales process. Will Taiwan be able to ask for all that it feels it needs, to then have that LoR accepted – not deterred if deemed “unintelligent” – and assessed on its merits? If the U.S. deems that a request is not doable at the moment, will they offer an alternative solution? It is not for any one department to determine what is “intelligent,” but for the full interagency review process to be employed to ensure that Taiwan can mount a credible and full defense as required by the Taiwan Relations Act.

http://www.us-taiwan.org/pressrelease/2018september25congressionalnotificationsarmssalestotaiwan.pdf

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U.S. Government

September 24, 2018 – U.S. Foreign Military Sales Order (FMSO) II to Taiwan

On September 24, 2018 the Defense Security Cooperation Agency (DSCA) made the following statement:

The State Department has made a determination approving a possible Foreign Military Sales Order (FMSO) II to provide funds for blanket order requisitions to the Taipei Economic and Cultural Representative Office in the United States (TECRO) for an estimated cost of $330 million. The Defense Security Cooperation Agency delivered the required certification notifying Congress of this possible sale today. TECRO has requested a Foreign Military Sales Order (FMSO) II to provide funds for blanket order requisitions, under a Cooperative Logistics Supply Support Arrangement for stock replenishment supply of standard spare parts, and repair/replace of spare parts in support of the F-16, C-130, F-5, Indigenous Defense Fighter (IDF), all other aircraft systems and subsystems, and other related elements of logistics and program support. The total estimated program cost is $330 million.

This proposed sale is consistent with U.S. law and policy as expressed in Public Law 96-8.This proposed sale will contribute to the foreign policy and national security of the United States by helping to improve the security and defensive capability of the recipient, which has been and continues to be an important force for political stability, military balance, and economic progress in the region. The proposed sale of spare and repair parts is required to maintain the recipient’s defensive and transport aerial fleet. The recipient has been operating these fleets since 1996 and will have no difficulty absorbing this equipment and support into its armed forces.

The proposed sale of this equipment and support will not alter the basic military balance in the region. There are no principal contractors involved with this potential sale. There are no known offset agreements proposed in connection with this potential sale. Implementation of this proposed sale will not require the permanent assignment of any U.S. Government or contractor representatives. There will be no adverse impact on U.S. defense readiness as a result of this proposed sale. This notice of a potential sale is required by law and does not mean the sale has been concluded.

All questions regarding this proposed Foreign Military Sale should be directed to the State Department’s Bureau of Political Military Affairs, Office of Congressional and Public Affairs, pm-cpa@state.gov.

The original news release is available on the DSCA website:
http://www.dsca.mil/major-arms-sales/taipei-economic-and-cultural-representative-office-united-states-tecro-foreign