Taiwan faces renewed debate over its defense budget as KMT chair-elect Cheng Li-wun raised concerns Wednesday. She called for a “reasonable defense budget” while warning that excessive spending could strain the nation’s finances.
Cheng emphasized that Taiwan “is not an ATM” and cautioned against unlimited increases. She argued that runaway defense spending could spark an endless arms race.
Her remarks came amid proposals by the ruling Democratic Progressive Party to raise defense spending to 5 percent of GDP by 2030. The government says this increase is essential to deter Chinese aggression.
Presidential Office spokesperson Karen Kuo responded, stating Cheng’s position differs from global democratic norms. She stressed that investing in national defense is investing in peace and security.
Cheng later clarified her stance, saying she supports regional and cross-strait peace. However, she opposes budgets that have no upper limit or crowd out public spending.
She urged Taiwan to project its peaceful intentions internationally. Cheng said Taiwan’s 23 million residents do not seek to provoke regional conflict.
The KMT chair-elect also recommended caution in cross-strait relations. She said President Lai Ching-te should act wisely to prevent Taiwan from entering unnecessary conflicts.
Cheng delivered these comments during a banquet at the Nantou County Council. She appeared alongside local leaders, including Magistrate Hsu Shu-hua and Council Speaker Ho Sheng-feng.
In August, President Lai pledged to gradually increase defense spending to 5 percent of GDP. The government proposed NT$949.5 billion for 2026, equaling 3.32 percent of GDP.
Under successive DPP administrations, Taiwan’s defense spending has ranged between 2 and 2.5 percent of GDP over the past nine years.
The debate over the defense budget reflects growing concerns about regional security. It also highlights the tension between financial prudence and military preparedness.
Cheng’s position indicates the KMT may advocate for measured defense increases, while the DPP emphasizes deterrence against potential threats.

