Credited from: NEWSWEEK
Taiwan is currently navigating a precarious political landscape with the recent return of Donald Trump to the White House, which is impacting its defense spending and diplomatic strategies amidst escalating Chinese pressure on the self-governing island. Just hours after Trump's inauguration, Taiwan's opposition-led parliament implemented a budget freeze on defense spending, a decision that experts fear could frustrate the newly inaugurated president, who has previously emphasized the need for allies like Taiwan to contribute more towards their own defense. Trump's administration has historically maintained a close security partnership with Taiwan; however, his transactional approach raises doubts about future U.S. commitments in the event of a conflict with China, particularly as Beijing intensifies its military maneuvers around the island.
Taiwan’s Minister of Defense, Lai Ching-te, voiced his concerns, stating that a lack of sufficient funding could lead to international skepticism regarding Taiwan's resolve for self-defense. Some lawmakers have criticized the decision, describing it as indicative of Taiwan’s waning commitment to enhancing its national defense capabilities while it prepares for potential hostilities from China, which has not ruled out using force to assert control over the island. As a part of this backdrop, Newsweek emphasized that the $95.6 billion budget approved by the opposition coalition severely diminishes Taiwan’s military readiness, particularly as nearly 40% of the defense budget has been frozen.
At the same time, Taiwan's aspirations to join the World Health Organization (WHO) as an observer have hit a significant roadblock with Trump’s administration expected to withdraw support. Analysts from the South China Morning Post indicate that without U.S. advocacy, Taiwan may struggle to gather sufficient international support, relying heavily on backing from the European Union and Japan, both of which may not hold significant sway. Since 2017, Taiwan has been excluded from WHO meetings due to objections from Beijing, and with the U.S. withdrawing, Taiwan's efforts to engage with the global health system will likely face considerable obstacles.
In addition to these challenges, Trump’s "America First" agenda could reshape trade relations. Trump has previously criticized Taiwan for what he described as taking valuable business from the U.S. semiconductor industry and has suggested that Taiwan should allocate 10% of its GDP towards defense, a move deemed unrealistic by many analysts. The CNN report elaborates on how as Taiwan strives to adapt to changing geopolitical realities under Trump, the legitimacy of its defense strategy has become a focal point for ongoing debates within its political arena.
Furthermore, Taiwan's growing trade surplus with the U.S. could complicate relations, especially if tariffs are imposed on its semiconductor exports. While there are concerns surrounding Trump’s willingness to utilize Taiwan as a bargaining chip in U.S.-China relations, the strategic importance of Taiwan as a leading semiconductor manufacturer keeps it significant on the global stage.
In conclusion, as Taiwan grapples with a complicated political environment influenced by Trump’s return to power, pressures from China, and potential shifts in U.S. diplomatic relations, the island’s future remains uncertain. The upcoming months will be crucial in determining how Taiwan navigates its defense priorities, diplomatic ambitions, and international collaborations.