Taiwan's Lai says defense buildup aims to deter war; Beijing calls speech separatist

What happened

Taiwan President Lai Ching-te used his National Day address in Taipei on Saturday to argue that building up the island's military is meant to prevent a war, not provoke one. "Taiwan cherishes peace, but we will not give up our freedom," he said outside the Presidential Office, according to Reuters.

What he said: "Our aim by increasing investment in national defense is not to provoke; rather, it is to deter war," Lai said, according to the Presidential Office transcript. "And we are strengthening our self-defense not to abandon dialogue, but to ensure that dialogue can take place on the basis of parity and dignity." He said Taiwan welcomed the United States and China managing their competition through dialogue, and that "democracies in the Indo-Pacific must join forces to ensure the status quo of peace and stability in the region is not changed." A Taiwanese official told reporters the line about U.S.-China dialogue was a direct response to last month's China-U.S. summit in Washington, Reuters reported.

Lai also pointed to whole-of-society resilience drills meant to keep energy, communications, transport, finance, food and health systems running in a crisis. Al Jazeera reported that his government has set aside a record NT$1.1 trillion (about $34.5 billion) for defense in 2027, more than 3% of GDP.

Why it matters

The speech comes as Washington and Beijing try to steady relations after their summit, and as Taiwan waits on U.S. arms. Reuters reported that China's last war games near Taiwan were in late December, after an $11 billion U.S. arms package, and that President Trump has yet to approve a second package worth about $14 billion. Taiwan's Defense Ministry reported 21 Chinese military aircraft and seven navy ships around the island in the 24 hours ending Saturday morning, Al Jazeera said.

What’s next

Whether Beijing follows its verbal response with large-scale military drills, as it did after earlier Lai speeches, and whether the White House moves on the pending $14 billion arms package.