Business
Taiwan’s Defense Procurement Faces Delays but HIMARS Arrive Early
Taiwan’s Ministry of National Defense revealed a mixed status regarding its arms procurement projects in a report presented to the Legislative Yuan. While 18 sets of M142 High Mobility Artillery Rocket Systems (HIMARS) are on track to arrive ahead of schedule by the end of next year, several other critical procurements, including the F-16V Block 70 jets, are facing significant delays.
The ministry’s report, delivered on October 22, 2023, outlines the progress of various military procurement projects, including HIMARS, AGM-154C Joint Standoff Weapons, and Mark 48 heavy torpedoes. The ministry is briefing the Legislative Yuan’s Foreign Affairs and National Defense Committee on these developments, inviting Wellington Koo, the Minister of National Defense, to explain the causes of these delays and the proposed countermeasures.
HIMARS Delivery and Other Progress
The upcoming HIMARS shipment consists of 18 launchers, 20 Army Tactical Missile Systems (ATACMS) with a range of 300 kilometers, and 864 precision rockets capable of striking targets within a 70-kilometer range. In the first shipment last year, Taiwan received 11 HIMARS launchers and 64 ATACMS missiles, which are already operational.
According to the report, 21 other procurements, including TOW 2B anti-tank systems, are progressing as planned. Deliveries of the TOW 2B and Phalanx close-in weapons systems have been completed, with other items being shipped on schedule.
Despite this progress, the procurement of 66 F-16V Block 70 jets has been hampered by supply chain disruptions and production line adjustments. Originally expected to be delivered by the end of next year, updates on subsequent aircraft have not been provided since the first jet rolled off the production line in March. The US manufacturer has implemented a two-shift, 20-hour work schedule to expedite production.
Financial Implications and Future Considerations
The procurement of these jets falls under the ministry’s NT$247.2 billion (approximately USD $8.04 billion) special budget, aimed at enhancing Taiwan’s air defense capabilities. The upgraded jets will be stationed at Chihhang Air Base in Taitung County and will operate alongside existing F-16V Block 20 jets in Hualien County.
During a meeting in the United States on October 22, Deputy Minister of National Defense for Armaments Chung Shu-ming expressed concerns regarding the delays with contractors. Notably, the F-16V purchase was facilitated through the US Foreign Military Sales program, which lacks a compensation mechanism for late deliveries, unlike direct commercial sales. Chung indicated that Taiwan intends to reserve part of its budget and request a return of any undue profits that may result from these delays.
Additional delays have also impacted the delivery of AGM-154C glide bombs intended for the F-16V Block 70s. The latest configuration of the weapon requires the US to restart production, procure materials, and reintegrate systems, causing the delivery date to be pushed back to between 2027 and 2028. Originally approved for sale to Taiwan in 2017, the AGM-154C is capable of striking targets from as far as 130 kilometers when launched from high altitudes.
The report further highlights delays in the delivery of 24 Mark 48 heavy torpedoes and four training models, with the timeline pushed back to between 2024 and 2028 due to supply chain interruptions and the need to restart production lines.
Despite these challenges, the ministry reassured that it continues to coordinate closely with US counterparts to ensure timely delivery of all contracted equipment, emphasizing the importance of bolstering Taiwan’s defense capabilities.
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