Taiwan's Cabinet on Sept. 3 approved a NT$607.6 billion supplementary budget for this year, including a NT$233.8 billion capital injection into CPC Corp and NT$145.7 billion for defense. The total is the largest on record, PTS reported, and comes less than a month after lawmakers passed this year's general budget with NT$48 billion cut. The bill now goes to the Legislative Yuan, where the opposition Kuomintang (KMT) caucus has said it may strike the CPC money entirely.
What does the money cover? The package, which the Taipei Times put at US$19.13 billion, spans six areas: stabilizing livelihoods, expanding social welfare, raising pay, disaster recovery, defense and preparing a child and youth growth allowance. The stabilizing-livelihoods portion covers both the CPC injection and NT$187.5 billion in measures responding to the Middle East conflict, CNA reported. Those measures include NT$101.4 billion to freeze or slow gasoline, diesel and natural gas prices and NT$71.1 billion to keep electricity prices frozen. Raises to farmers' allowances, the national pension and six welfare allowances cost NT$21.5 billion and are backdated to July 1.
What does the defense money buy? It covers NT$13 billion for seven items such as a mid-tier anti-tactical ballistic missile system, NT$55.9 billion for three unmanned-vehicle items including littoral surveillance drones, NT$64.5 billion for two classified programs and NT$7.3 billion to replenish ammunition in short supply, CNA reported. Huang Wen-chi, head of the defense ministry's strategic planning department, said all 13 items left out when lawmakers did not pass a NT$1.25 trillion special defense act in full were included. All drone units have been in place since January but lack unmanned systems, including littoral surveillance and attack drones and unmanned suicide boats, he said. Defense makes up about 24% of the package, the Liberty Times reported.
How have the parties responded? Hsu Yu-chen, the KMT caucus secretary-general, said the CPC injection, nearly 40% of the package, belongs in the 2027 general budget for full review, and accused the Cabinet of trying to sneak it through. Taiwan People's Party caucus convener Chen Ching-lung asked which condition for a supplementary budget the injection met after six straight years of CPC losses, PTS reported. The KMT also demanded that the Cabinet first countersign a drone act passed by lawmakers, a demand the Cabinet did not directly answer. Chuang Jui-hsiung, whip of the Democratic Progressive Party caucus, said the government had a responsibility to stabilize prices amid the Middle East conflict, CNA reported.
