Taiwan President Lai Ching-te announced a supplementary defense budget of 1.25 trillion Taiwanese dollars ($40 billion) as China intensifies military activities near the island. Speaking at a press briefing on Wednesday, Lai highlighted Beijing’s growing “gray-zone harassment” and its goal of potentially seizing Taiwan by force by 2027.
Lai warned that China has escalated its infiltration and influence campaigns, attempting to interfere in Taiwan’s politics and sway public opinion, undermining the island’s democratic system. He also cited Beijing’s unprecedented military buildup and ongoing provocations across the Taiwan Strait, the East and South China Seas, and the wider Indo-Pacific region.
Beijing claims Taiwan as part of its territory, with President Xi Jinping calling reunification a “historical inevitability.” Taiwan firmly rejects these claims and has ramped up its self-defense measures. China’s defense budget rose by 7.2% in 2025 to approximately $245 billion, with significant deployment near the Taiwan Strait, according to the Center for Strategic and International Studies.
Lai pledged to strengthen Taiwan’s defense capabilities, aiming to achieve high combat readiness by 2027, while the island navigates growing regional pressures, including diplomatic tensions between China and Japan. Earlier this month, Chinese officials criticized Japanese Prime Minister Sanae Takaichi for comments on potential military action in Taiwan, labeling them “egregious.”
The escalating situation underscores the delicate balance in the Indo-Pacific, with Taiwan bolstering its defenses amid Beijing’s rising assertiveness.