Executive Summary
Taiwan has consistently pursued the development of an indigenous defense industry to mitigate risks associated with shifting US policy and diplomatic isolation, driven by persistent military threats from the PRC. This strategy has fostered a robust defense industrial chain, leveraging economic development and technological advancements. Key institutions like NCSIST, AIDC, and CSBC have been instrumental in developing advanced weapon systems and military platforms.
Why It Matters
This document is crucial for defense analysts as it details Taiwan's strategic imperative to develop an indigenous defense industry in response to geopolitical shifts and the enduring threat from mainland China, highlighting its efforts to achieve defense self-reliance amidst complex international relations. It provides a historical overview of how external military assistance and internal economic development shaped Taiwan's security posture.
Key Takeaways
- Taiwan's indigenous defense industry development is a direct response to the PRC's military threat and the unreliability of external military assistance, particularly from the US.
Source evidence · PDF page 1
Post-World War Two economic development in Taiwan has been closely linked to political attempts to develop a strong indigenous defence industry, with the aim of ensuring Taiwan would be able to avoid the potential risks associated with changes in US policy.
- Political and diplomatic isolation, coupled with restricted international arms markets, has made indigenous defense production the only viable solution for Taiwan's defense modernization.
Source evidence · PDF page 7
In such a political difficult context, development of an indigenous defence industry would seem to be the only possible solution. As President Tsai Ing-wen stated, on the occasion of launching construction of a facility to build Taiwan’s first indigenous submarines, ‘[b]uilding submarines at home is the only way out’.
- Taiwan's security policy has consistently focused on deterring the Chinese communist regime, evolving from a 'recover the mainland' strategy to 'effective deterrence, resolute defense' through self-reliance.
Source evidence · PDF page 17
The ROC has experienced significant social and political challenges. Despite this, it continues to grow and transform regardless of the serious security threat from the PRC. Its security policy has always focused on the threat from the Chinese communist regime.
Strategic Relevance
Taiwan's indigenous defense industry is strategically vital for its national security, enabling it to counter the PLA's military threat and reduce dependence on foreign arms suppliers, thereby enhancing its deterrence capabilities and strategic autonomy in the Indo-Pacific region.