Taiwan Weekly is a newsletter released every week by Fair Winds Foundation and Association of Foreign Relations that provides coverage and perspectives into the latest developments in Taiwan.

Raytheon Arms Sales to Taiwan Involve Illicit Gains

U.S. defense contractor Raytheon is facing allegations of overcharging for arms sales to Taiwan, raising international concerns. Taiwan's Ministry of National Defense confirmed that the U.S. Department of Justice has reached a plea agreement with the company, requiring full restitution for the overcharges. This indirectly confirms suspicions of misconduct in Raytheon’s dealings with Taiwan.

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Taiwan Drawn into New Cold War

At 8:44 AM on September 25, People’s Liberation Army (PLA) Rocket Force test fired an intercontinental ballistic missile (ICBM) carrying a dummy warhead into the high seas of the Pacific Ocean. The warhead accurately fell into expected sea area. Contrary to the statement from China’s Ministry of Defense that the test firing was a routine annual exercise, it was actually the first launch of an ICBM into the Pacific Ocean in 44 years.

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Constitutional Court Effectively Abolishes Death Penalty

Thirty-seven (37) death row inmates claimed that the death penalty system in the criminal law was unconstitutional and petitioned for a constitutional review. On August 20, the Constitutional Court declared that the death penalty was constitutional, but strictly limited the types of crimes and requirements applicable to it. Although the death penalty still exists on the surface, it can be said to have been “substantially abolished.” How to appease the public opinion of more than 80 percent who are opposed to abolishing death penalty will test the administration of President Lai Ching-te.

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Taiwan's National Security Crisis

The outcome of the presidential election in the United States is bound to reshape geo-political dynamics and U.S.-China relations. Under this context, Taiwan's future has become increasingly critical. In a lecture, senior Singaporean diplomat Kishore Mahbubani cautioned that the "Western-led order" is nearing its end, and Taiwan risks being sacrificed if it pursues independence. He notes that most countries are unlikely to recognize Taiwan as an independent state.

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TPP Chairman Ko Detained and Held Incommunicado

Chairman Ko Wen-je of the Taiwan People’s Party (TPP), implicated in the Living Mall case, is currently detained and barred from meeting visitors by the Taipei District Court. The party held an expanded meeting on September 6 to discuss the party's future and decided not to select an acting chairman at this time. Regardless of how the case develops, Ko's credibility has been severely impacted by such issues as political donations and the five major cases during his tenure as Taipei mayor. The TPP continues to avoid the issue of succession: Is it because the party trusts Ko or because it cannot do without him?

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Prosecution Searches and Requests Detention of TPP Chairman Ko on Corruption Charges

During his term as Taipei mayor, Chairman Ko Wen-je of the Taiwan People's Party (TPP) was involved in the Living Mall project controversy. On August 31, the Taipei District Prosecutors Office filed a complaint with the court, requesting to detain Mr. Ko, on suspicion of Mr. Ko violating his duties by accepting bribes, intending to profit, and manipulating evidence. The detention of the chairman of the third largest political party has severely affected the current political structure of the DPP's opposition, which supposedly cooperates to check and balance the DPP. The TPP has framed this as a "political hunt," seeking to unify its supporters and prevent them from disintegrating.

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2025 Defense Budget $20.1 Billion Record High, 2.45% GDP

The Executive Yuan has approved a budget of NT$2.84 trillion (about $84.8 billion) for the construction of seven new submarines over the next 14 years. This plan, which will run from 2025 to 2038, includes the development of new submarines following the ongoing tests of the prototype, Hai Kun. However, only NT$2 billion (approximately $62 million) is allocated for initial work in the upcoming year.

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Taiwan's Government Admits Power Shortage for the First Time

The Executive Yuan led by Premier Cho Jung-tai has repeatedly assured that Taiwan will not face a power shortage by 2030.

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China Announces Mailbox to Report Taiwan Independence Activities

In late June, mainland China enacted new regulations targeting Taiwan independence advocates, heightening internal divisions in Taiwan.

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Cross-Strait Agreement Reached After Fishing Boat Capsizing Incident

According to Baidu Encyclopedia, "concept-substitution," a Chinese phrase, means a logical mistake by using a different concept, consciously or unconsciously, to replace an original one in the process of debate.

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