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Press Releases U.S. Government

USTBC Comments on the Proposed FMS of Aircraft Spare Parts to Taiwan

Press Release:
The US-Taiwan Business Council Comments on the Proposed Foreign Military Sales of Aircraft Spare Parts to Taiwan

(Arlington, Virginia, December 7, 2022)

The US-Taiwan Business Council today welcomed the announcement of two possible Foreign Military Sales (FMS) to Taiwan, supplying aircraft standard and nonstandard spare parts and related equipment at an estimated total cost of US$428 million. The Defense Security Cooperation Agency (DSCA) delivered the required certifications notifying Congress of the proposed Taiwan arms sales on December 6, 2022.

The published Congressional Notifications (transmittal numbers 22-55 and 22-56) are for the expansion of the Cooperative Logistics Supply Support Arrangement for stock replenishment supply of aircraft standard and non-standard spare parts and related equipment. These two notifications include consumables, accessories, and repair and replacement support for the F-16, C-130, Indigenous Defense Fighter (IDF), and all other Taiwan aircraft and systems or subsystems of U.S. origin, as well as other related elements of logistics and program support.

Council President Rupert Hammond-Chambers commented on today’s sale, “We welcome the news that the U.S. government continues to support the sustainment of Taiwan’s air power. A modern, well-equipped air force is required to handle an all-phases approach to Taiwan’s national defense. That includes the parts and sustainability required to maintain operational rates commensurate with the threat from China’s People’s Liberation Army Air Force.

The PLAAF’s grey zone activities represent a daily challenge to Taiwan’s sovereignty and national integrity. The upgrade program for Taiwan’s legacy F-16s is proceeding well, and in 2023 we can expect to see the first of Taiwan’s new F-16s start to arrive on the island. By 2026, Taiwan will have the largest and most modern fleet of F-16s in the Asia-Pacific – a capability well worth the investment and support. This too is true for Taiwan’s fleet of C-130s required for logistical support. Taiwan’s budget priorities should continue to ensure that its legacy equipment is well maintained, including through the procurement of parts.

Hammond-Chambers added, “USTBC has been consistent in noting that the Biden Administration is focused on munitions and sustainment, and these congressional notifications are part of those types of programs. As we move into 2023, we can expect more arms sales in these two areas.

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

Additional Data:

For more details on Taiwan arms sales, please visit our dedicated defense website at www.ustaiwandefense.com. The post “Taiwan Arms Sales Notified to Congress 1990-2022” contains charts showing a summary of arms sales data by year, along with a link to the raw data compiled by the Council from DSCA and other sources.

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Press Releases U.S. Government

USTBC Comments on the Proposed FMS of Additional Missiles and Radar Sustainment to Taiwan

Press Release:
The US-Taiwan Business Council Comments on the Proposed Foreign Military Sale of Additional Harpoon and Sidewinder Missiles and Radar Sustainment to Taiwan

(Arlington, Virginia, September 2, 2022)

The US-Taiwan Business Council today welcomed the announcement of three possible Foreign Military Sales to Taiwan of AIM-9X Block II Sidewinder Missiles, AGM-84L-1 Harpoon Block II Missiles, as well as Contract Logistics Support for the Surveillance Radar Program (SRP) and related equipment, at an estimated total cost of US$1.106 billion. The Defense Security Cooperation Agency (DSCA) delivered the required certifications notifying Congress of the proposed Taiwan arms sale on September 2, 2022.

The published Congressional Notifications (transmittal numbers 22-44, 22-45, and 22-46) is for 100 AIM-9X Block II Sidewinder tactical missiles and 4 AIM-9X Block II tactical Guidance Units – along with containers, spare & repair parts, support & test equipment, documentation, training, and other support. It is also for 60 AGM-84L-1 Harpoon Block II missiles and 4 ATM-84L-1 Harpoon Block II exercise missiles. Also included are Harpoon Guidance Control Units (GCUs), Radar Seekers and Altimeters, Captive Air Test Missiles (CATMs) as well as containers, spare & repair parts, support & test equipment, documentation, training, and other assistance and support. Finally, today’s notifications included follow-on Contractor Logistics Support (CLS) for the Surveillance Radar Program (SRP). That includes program management, minor modifications and upgrades, spares and repair/return parts, documentation, as well as related elements of engineering, technical, logistical, and other program support.

These are not new capabilities. Taiwan already has AIM-9 and Harpoon missiles in its existing inventory, and the Taiwan Surveillance Radar Program (SRP) has now been up and running for near a decade. The US-Taiwan Business Council welcomes continued security assistance support for Taiwan. We expect the Biden Administration to continue to focus its efforts on munitions and sustainment, which fits with their “asymmetric” approach to Taiwan. This views arms sales to Taiwan only through the narrow prism of a D-Day style attack, rather than as an all-phases assessment of the Chinese threat.

The Council opposes this limited approach. As the People’s Liberation Army (PLA) recently demonstrated in its mock blockade, the island faces a range of threats that require a range of capabilities. To deny the island the ability to mount a full defense will, over-time, create new gaps in Taiwan’s defenses that the PLA can exploit. America’s current policy of strategic ambiguity does not allow for the U.S. to clarify that it would fill those gaps as they emerge.

Council President Rupert Hammond-Chambers commented on today’s sale, “The Council has long opposed the ‘packaging’ of programs into a single batch of Congressional Notifications. It is an irregular use of the Foreign Military Sales (FMS) process, where programs should be notified to Congress when they are ready, rather than bundled together. It raises the likelihood of politicized timing, and places stress on Taiwan’s budget process as its government has to manage the ebbs and flows of erratic sales.

Hammond-Chambers added, “Notifying a bundle of programs in excess of US$1 billion tends to magnify the political impact of an arms sales announcement. In conjunction with the passage of the USS Antietam and USS Chancellorsville through the Taiwan Strait in the past week, we should consider today’s sale a part of the hard-power response to the PRC’s threats and irresponsible behavior after Speaker Pelosi’s trip to Taiwan.

However, if the intention is to both boost Taiwan’s national security and make a political point to China, notifying this sale at 5:00 pm on a holiday weekend is a failing grade. Attempts to bury so-called ‘sensitive’ arms sales announcements late in the day or before a 3-day weekend have happened in the past as well. It appears that one faction within the Biden Administration wants to make a solid point to the PRC about material support for Taiwan in the face of PLA pressure, while another seems to want to minimize that point by announcing it the evening before a long weekend.

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

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Press Releases U.S. Government

USTBC Comments on the Proposed FMS of Contractor Technical Assistance Support to Taiwan

Press Release:
The US-Taiwan Business Council Comments on the Proposed Foreign Military Sale of Contractor Technical Assistance Support to Taiwan

(Arlington, Virginia, July 15, 2022)

The US-Taiwan Business Council today welcomed the announcement of a possible Foreign Military Sale to Taiwan of Blanket Order Contractor Technical Assistance Support, at an estimated cost of US$108 million. The Defense Security Cooperation Agency (DSCA) delivered the required certifications notifying Congress of the proposed Taiwan arms sale on July 15, 2022.

The published Congressional Notification (transmittal number 22-31) is for contractor technical assistance support consisting of unclassified spare and repair parts and assembly for tanks and combat vehicles. It also covers technical assistance, technical and logistical support, and other related elements.

The US-Taiwan Business Council acknowledges the need for sustainment of Taiwan’s military. This sale will help Taiwan maintain its vehicles, small arms, combat weapon systems, and logistical support items.

Council President Rupert Hammond-Chambers said, “As the US-Taiwan Business Council has previously noted, the Biden Administration’s security assistance policy through 2025 will focus on sustainment and munitions. Force modernization of Taiwan’s armed forces is no longer a priority. We expect to soon learn more about the new limits of U.S. security assistance to Taiwan after the June Monterey Talks and Special Channel talks in Washington, D.C. and Annapolis, Maryland.

Hammond-Chambers added, “More information will allow us to better predict where U.S. policy will start to open up critical gaps in Taiwan’s all-phases approach to the defense of the island. The PLA will naturally focus on these emerging vulnerabilities, as they adapt to the shortcomings of U.S. policy. The US-Taiwan Business Council again calls on the Biden Administration to provide strategic clarity on where U.S. forces will fill gaps in Taiwan’s defense brought on by these changes to U.S. policy.

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

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Press Releases U.S. Government

USTBC Comments on the Proposed FMS of Naval Spare and Repair Parts to Taiwan

Press Release:
The US-Taiwan Business Council Comments on the Proposed Foreign Military Sale of Naval Spare and Repair Parts to Taiwan

(Arlington, Virginia, June 9, 2022)

The US-Taiwan Business Council today welcomed the announcement of a possible Foreign Military Sale to Taiwan of naval spare and repair parts, at an estimated cost of US$120 million. The Defense Security Cooperation Agency (DSCA) delivered the required certifications notifying Congress of the proposed Taiwan arms sale on June 8, 2022.

The published Congressional Notification (transmittal number 22-22) is for spare and repair parts for ships and ship systems, technical assistance, technical and logistical support, and other related elements of logistics support. The notification indicated that the equipment will be sourced from approved U.S. Navy vendors and/or U.S. Navy stock.

The US-Taiwan Business Council acknowledges the need for sustainment of Taiwan’s military. The upkeep of the Taiwan armed forces is an essential aspect of Taiwan’s overall force posture, and supports its efforts to ensure that its military operational rates are high.

Council President Rupert Hammond-Chambers said, “As the Biden Administration undertakes the most significant narrowing of U.S.-Taiwan security assistance since 1979, these types of notifications covering sustainment efforts are the most likely over the next 18-24 months. There appears to now be little to no U.S. support for substantial Taiwan force modernization efforts, so we should expect to see mostly sustainment and munitions programs through the remainder of President Biden’s term (or terms) in office.

Hammond-Chambers added, “One significant impact this approach will have is to constrain force modernization for entire areas of Taiwan’s military capability. We are likely to see the loss of infrastructure, hollowing out of operational experience, and the loss of decades of expertise. Once lost, that expertise will not return to the Taiwan military. This creates new vulnerabilities for the Chinese military to exploit. Far from improving Taiwan security, as time progresses this new directed approach will supply the PLA with emerging areas of military weakness, heightening – not lessening – the likelihood of attack.

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

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Press Releases U.S. Government

USTBC Comments on the Proposed FMS of Contractor Technical Assistance for Taiwan’s Patriot Air Defense System

Press Release:
The US-Taiwan Business Council Comments on the Proposed Foreign Military Sale of Contractor Technical Assistance for Taiwan’s Patriot Air Defense System

(Arlington, Virginia, April 6, 2022)

The US-Taiwan Business Council today welcomed the announcement of a possible Foreign Military Sale to Taiwan of Contractor Technical Assistance and related maintenance and sustainment articles and services for the Patriot Air Defense System, at an estimated cost of US$95 million. The Defense Security Cooperation Agency (DSCA) delivered the required certifications notifying Congress of the proposed Taiwan arms sale on April 5, 2022.

The published Congressional Notification (transmittal number 22-16) is for support of the Patriot Air Defense System in Taiwan, and helps underpin Taiwan’s efforts to modernize its armed forces and to maintain a credible defensive capability. It includes Contractor Technical Assistance support consisting of training, planning, fielding, deployment, operation, maintenance, and sustainment of the Patriot Air Defense System, associated equipment, and logistics support elements. It also includes Patriot Ground Support Equipment, spare parts, and consumables.

Council President Rupert Hammond-Chambers said: “The sustainment of Taiwan’s existing weapons systems is an essential commitment by its armed forces to maintain high operational rates for its legacy gear.” “The normalized and regularized process of assessing all requested weapons systems for Taiwan’s use must remain a top priority for the Biden Administration. That should entail the acceptance from Taiwan of Letters of Request (LoRs), so that a full inter-agency assessment – that includes the uniformed services – can ascertain the utility of the request.”

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

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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