TAIWAN – Former President Trump’s recent remarks about the perceived imbalance in the cost of defending Taiwan have sparked mixed reactions. While some agree with his assessment, others point to the $19 billion worth of American weapons Taiwan has already purchased but is still awaiting delivery.

Trump’s comments were made in an interview last week. The former president stated that Taiwan should pay for its defense, arguing that Taiwan has taken “about 100% of our chip business.”

Following these remarks, the share price of Taiwan’s chipmaker TSMC, which had already been declining, dropped further. However, TSMC Chairman C. C. Wei assured investors that the company will continue with its expansion plans in the U.S., Japan, and Germany, regardless of geopolitical tensions.

Taiwanese Premier Cho Jung-tai expressed gratitude for U.S. support and reaffirmed the strong relationship between the two nations. He also stated that Taiwan will continue its commitment to international responsibility.

Trump’s assertion that Taiwan “doesn’t give us anything” has been met with skepticism from some in Taiwan, who maintain that Taiwan has been a reliable regional partner.

“It is inaccurate to say Taiwan doesn’t ‘give anything,’” said Huang Kwei-bo, professor of diplomacy at Taipei’s National Cheng Chi University. “For decades, Taiwan has paid seller’s market prices for major weaponry systems from the United States, its sole provider.”

Huang acknowledges that the Biden administration resumed limited military financial aid to Taiwan in 2023, the first such grants since the 1960s, attributing this move to anti-Beijing sentiment in the U.S.

Joann Ko (Ko Chih-en), a prominent lawmaker from the Kuomintang (KMT) opposition party, expressed surprise at Trump’s characterization of the defense relationship as a scenario where Taiwan is a freeloader.

“We’ve increased spending and readiness and I think we pay enough,” she said. “Of course, we are willing to discuss changes, and we highly value good relations with the U.S. The United States is welcome to offer advice, and we will take any proposals seriously. But I can’t agree with those comments.”

However, there are many in Taiwan who agree with Trump’s sentiment, either fully or partially.

Ross Feingold, a Taipei-based lawyer, political commentator, and former Asia chairman of Republicans Abroad, believes that Taiwan’s defense spending is inadequate, both as a percentage of its annual budget and its GDP. “Given the ever-increasing risk that Taiwan faces, the amount that Taiwan spends is clearly not enough and President Trump is right to point this out,” he said.

Huang notes that Taiwan has recently increased its defense spending. The previous administration raised the annual defense budget from approximately 2% of GDP to 2.5% when special “one-off” budgets are included. However, these figures still fall short of the 3% GDP threshold demanded by Trump, as Taiwan is not a member of NATO.

Huang expressed regret that the government accepted U.S. military financing or loans, as he believes it may have given the wrong impression to Trump.

The 1979 Taiwan Relations Act (TRA) requires the United States to provide Taiwan with defensive arms and mandates that the U.S. maintain the capacity to resist any force or coercion that would threaten Taiwan’s security or socio-economic stability. Critics of Trump argue that the TRA does not oblige Taiwan to pay for its defense.

These critics also point to the $19 billion backlog of undelivered weapons that Taiwan has already purchased, ranging from fighter jets to Abrams tanks. According to the Cato Institute, Taiwan typically experiences longer delivery times for weapons compared to other nations, particularly for HIMARS, newly built F-16s, and Abrams tanks.

Feingold, however, shares the view that the U.S. will not abandon Taiwan, even if spending does not reach the levels suggested by Robert O’Brien, a top Trump national security adviser. O’Brien recently stated that Taiwan should spend at least 5% of its GDP on defense, a figure that KMT lawmaker Ko deems unlikely to achieve.

Despite Trump’s departure from the Oval Office in January 2025, there is a consensus in Taiwan that he will likely be surrounded by a pro-Taiwan team, individuals aware of the threat posed to world peace by the communist government in Beijing.

In response to Trump’s comments, Taiwan’s Foreign Minister Lin Chia-lung told foreign reporters that Taiwan must rely on itself for defense and will both modernize its military and increase spending.

“I think everyone has a consensus on the main point, which is the China threat,” said the foreign minister, who assumed office in May 20 as part of newly elected DPP President Lai Ching-te’s cabinet.