Taiwan boosts domestic drone production for defense and exports to the US military amid China tensions

Taiwan's government has proposed a $6.6 billion special budget to purchase over 208,000 coastal attack drones, 1,400 coastal reconnaissance drones, and 1,320 uncrewed surface vessels from domestic manufacturers between 2026 and 2031. This would significantly expand Taiwan's current arsenal of only 5,000 attack drones, which includes both US-made and locally produced models. Recent military exercises have featured Taiwanese forces using US-made Altius-600 loitering munition drones as well as domestically built drones to strike maritime targets. Meanwhile, Taiwanese companies are forming international partnerships to sell drones to the US military and other overseas buyers as part of broader efforts to bolster self-defense capabilities.