Parsing Taiwan’s 2025 Quadrennial Defense Review

EU Defense Report; AU's Opposition Foreign Policy Vision; US Drills with Indo-Pacific Allies

Mar 24, 2025

Hub Story: Taiwan’s 2025 Quadrennial Defense Review
Spoke Story: EU Defense Industrial Base White Paper
Spoke Story: Australia’s Opposition Leader Outlines Foreign Policy Vision
Spoke Story: US Holds Exercises with Indo-Pacific Allies
Alliance Insights: Key Articles This Week

Hub Story: Taiwan’s 2025 Quadrennial Defense Review

Taiwan’s new Quadrennial Defense Review (unofficial English translation provide by Taiwan Security Monitor) highlights the escalating geopolitical risks posed by US-China strategic competition, the Russia-Ukraine war, and the PRC’s military expansion, particularly in the Taiwan Strait, where Beijing’s growing military capabilities and aggressive posture present a direct threat.

Taiwan is strengthening its military preparedness through asymmetric defense strategies, national defense reforms, and international partnerships to deter PRC aggression and ensure regional stability. The Four-Year Defense Review reflects the government’s commitment to enhancing national defense through modernization, personnel development, and engagement with the global defense supply chain, all while upholding democratic values and demonstrating a firm resolve for self-defense. This review’s theme is “Building Agile Response Capabilities and Whole-of-Society Defense Resilience to Ensure National Security.”

The review offers a broad overview, touching on many topics but without in-depth analysis. While much of the content will be familiar to those well-versed in Taiwan’s defense policy, certain focus areas provide insight into the new government’s priorities. The white paper is structured into the following sections:

Security in the Taiwan Strait under Shifting Global Dynamics
Strategic Guidance for National Defense Security
Building a Force That Can Defeat the Enemy
Priority Tasks in Advancing Defense Reforms
Nationwide Defense Mobilization to Support Sustained Operations
Regional Linkages to Strengthen Collective Deterrence

Here are some key takeaways:

1. Taiwan Connects Ukraine and Middle East to the Taiwan Strait

The white paper underscores the growing ties between great-power rivalry and regional conflicts, stressing their impact on Taiwan’s security and autonomy. It highlights how adversarial states like China, Russia, Iran, and North Korea are deepening their cooperation, creating a more precarious security landscape for Taiwan and its Western partners.

Republic of China: Quadrennial Defense Review 2025:

The PRC continues to accelerate the modernization of its armed forces and has repeatedly taken unilateral actions in an attempt to alter the international order and the status quo in the Taiwan Strait. Amid the ongoing Russia-Ukraine conflict and other regional strife in the Middle East, the United States, Europe, and Indo-Pacific countries—seeking to counter the increasingly close collaboration among Russia, the PRC, North Korea, and Iran—have been boosting defense spending, enhancing military preparedness, intensifying defense technology R&D, and expanding military security cooperation. This heightened military strengthening among nations to ensure their own security underscores the interlinked nature of global security affairs, which depend on a concerted international response…
Since the outbreak of the Russia-Ukraine war, there has been a profound effect on security in Europe and worldwide. NATO members have adjusted their foreign and defense policies, substantially increasing defense budgets and reinforcing collective defense mechanisms. In response to varying degrees of sanctions imposed by Western nations, China, Russia, and North Korea have sought even closer strategic collaboration…
Recent hostilities among Israel, Hamas, Iran, and Lebanon’s Hezbollah have deteriorated security in the Middle East, triggering a humanitarian crisis and exerting a negative impact on the global economy. In the South China Sea, the PRC continues its militarization efforts and has confronted the Philippines in multiple territorial disputes, making the region a hotspot of conflict. Meanwhile, North Korea amended its constitution to designate South Korea as its top adversary, supplies military aid to Russia in order to deepen their alliance, and continues to develop nuclear weapons and test intercontinental ballistic missiles—factors that further destabilize Northeast Asia.

2. Budget Growth, Defense Reforms, and Innovation Procurement

The defense review also outlines the Ministry of National Defense’s approach to budget growth, defense reform, and innovation-driven procurement. According to the document, the ministry will place more emphasis on asymmetric capabilities and resilience. With a second Trump Administration taking shape, Taipei is likely to face heightened pressure to boost defense spending—especially as key figures like Bridge Colby have urged an increase from 2.5% to 10% of GDP. The white paper places significant emphasis on broader reforms and the integration of emerging technologies, aligning with the Executive Yuan’s strategic focus on the “Five Trusted Industry Sectors”: semiconductors, artificial intelligence, military, security and surveillance, and next-generation communications.

Republic of China: Quadrennial Defense Review 2025:

Forward-Thinking, Pragmatic Budget Planning
Future budget priorities include building asymmetric capabilities, strengthening defense resilience, enhancing reserve force capabilities, and bolstering gray-zone response capacities.
In line with project timelines, the MND will maintain an overall upward trend in defense budgets.
As declared by the President, a special budget will be prioritized to bring defense expenditures above 3% of GDP, providing a boost to defense force development…
Applying Key Innovative Technologies
Leverage the private sector’s R&D and production strengths to accelerate defense innovation, thereby establishing an asymmetric edge in defending the Taiwan Strait.
Form a National Defense Innovation Task Force, prioritizing unmanned systems, counter-unmanned systems, AI applications, communications, and cybersecurity—fields where civilian research efforts are already substantial. By conducting industrial capability assessments, business intelligence analyses, and technological exchanges, the MND monitors domestic and international trends in emerging technologies, informing the acquisition needs of the Armed Forces…

To bolster self-sufficient production capabilities, the MND implements the “Advanced National Defense Technology Research Program.” Under the oversight of the National Science and Technology Council (NSTC) and leveraging the seven “Defense Technology Research Centers”…
NCSIST is establishing an “Aerospace and UAV Industrial Park,” encouraging aerospace and UAV firms to set up operations there, in collaboration with the Ministry of Economic Affairs’ Asia UAV-AI Innovation Application R&D Center. This initiative promotes UAV and aerospace industry growth and participation in the “Non-Red UAV International Supply Chain.”…
Enforce the “National Defense Industry Development Act,” establishing a certified vendor system and offering grants or subsidies to encourage R&D and promote industrial upgrading.

3. Mobilization and Civil Defense

In recent years, Taiwan has faced challenges in sustaining a sizeable and professional force structure. Although it maintains a mandatory conscription program, its historically short duration and limited rigor have done little to enhance overall warfighting capability. This defense review signals an intent to strengthen interoperability between the armed forces and local governments, particularly in preparing for coordinated responses in the event of a PRC attack.

Republic of China: Quadrennial Defense Review 2025:

Nationwide Defense Mobilization to Support Sustained Operations
To cultivate a robust democratic society and safeguard national security, our nation established the All-Society Defense Resilience Committee on June 19, 2024 under the Office of the President. This committee conducts a holistic review and proposes countermeasures. In alignment with this vision, and referencing the approaches of Western democracies, the Armed Forces have built an interagency military-civil coordination mechanism to support disaster relief and military operations. Through regular exercises, they validate mobilization systems and emergency response capabilities.
In accordance with the All-Out Defense Mobilization Preparatory Act, the Armed Forces continually collaborate with government agencies and local authorities to integrate national defense resources and conduct drills. This cooperation strengthens civil defense education and response training, facilitating a swift transition from peacetime to wartime and harnessing the collective might of society.
If there are clear signs that the enemy will invade, an exercise order will be issued immediately to call up reserve 55 servicemembers from the three services. Under the guidance of each theater command, reserve units will be augmented to join active-duty forces, expediting personnel and materiel preparations for combat…
Mandatory military training now includes civil defense courses, teaching conscripts self-help and mutual assistance skills. Upon returning home after discharge, they continue to contribute to local defense.

Government strategy papers are often a mixed bag—more like a Christmas tree, where every agency adds its own ornament, making it hard to discern clear priorities. The result is a blend of well-meaning aspirations and actual, resourced initiatives, with little distinction between the two on paper. In the end, only time will tell how closely Taiwan follows through on the goals outlined in this review.

Spoke Story: EU Defense Readiness White Paper

The European Commission has released its Joint White Paper for European Defence Readiness 2030, presenting a sobering evaluation of the continent’s defense industrial base and a roadmap for its revitalization. To support this mission, the EU is opening $163 billion in loans for joint procurements. Underpinning this effort is a fundamental shift in Europe’s strategic outlook—an explicit recognition that the post-war, rules-based international order is coming undone. The paper begins with a stark warning: Europe must brace for a more contested, unstable world and take urgent steps to adapt.

European Commission: European Defence Readiness 2030:

The political equilibrium that emerged from the end of the Second World War and then the conclusion of the Cold War has been severely disrupted. However much we may be wistful about this old era, we need to accept the reality that it is not coming back. Upholding the international rules-based order will remain of utmost importance, both in our interest and as an expression of our values. But a new international order will be formed in the second half of this decade and beyond. Unless we shape this order – in both our region and beyond – we will be passive recipients of the outcome of this period of interstate competition with all the negative consequences that could flow from this, including the real prospect of full-scale war. History will not forgive us for inaction.

The European Commission faces a fundamental challenge: the European Union is a confederation, not a centralized authority, and lacks the power to unilaterally direct defense policy for the continent. Its role is primarily one of coordination and support. Ultimately, the future of the European defense industrial base will depend on the political will and commitment of individual member states. Recognizing this, the Commission outlines several ways it can assist and empower national efforts.

The EU is bringing value by:

facilitating greater collaboration and efficient scale for the European defence industry in developing, producing and marketing weapons systems,
facilitating efficiencies, interchangeability and interoperability, lowering costs by avoiding competitive purchasing and improving purchasing power for Member States, while helping to generate stability and predictability with multi-year industrial demand,
supporting dual-use infrastructure for mobility and space-based communications, navigation, and observation,
enabling partnerships.

These tools inform the EU’s key priority areas for strengthening its defense readiness.

European Commission: European Defence Readiness 2030:

Based on the defence capability gaps already identified by Member States, this White Paper sets out seven priority areas which are critical to build a robust European defence. The priority capability areas are the following:
Air and missile defence: an integrated, multi-layered, air and missile defence that protects against a full spectrum of air threats (cruise missiles, ballistic and hypersonic missiles, aircraft and UAS).
Artillery systems: advanced fire systems including modern artillery and long-range missile systems designed to deliver precise, long-range attacks against land targets (deep precision strike).
Ammunition and missiles: building on the European External Action Service initiative “Ammunition Plan 2.0”, a strategic stockpile of ammunition, missiles and components along with sufficient defence industrial production capacity to ensure timely replenishment.
Drones and counter-drone systems: unmanned systems, including aerial, ground, surface and underwater vehicles that can be controlled remotely or operate autonomously using advanced software and sensors and enhance the capabilities that these technologies enable (e.g. situation awareness, surveillance, …).
Military Mobility: an EU-wide network of land corridors, airports, seaports and support elements and services, that facilitate the seamless and fast transport of troops and military equipment across the EU and partner countries.
AI, Quantum, Cyber & Electronic Warfare: defence applications using military AI and quantum computing; EU-wide advanced electronic systems designed to a) protect and ensure the unhindered use of the electromagnetic spectrum for land, air, space and naval forces and operations; b) suppress, disrupt and deny the use of the electromagnetic spectrum by an opponent; and c) protect the freedom to operate in cyber space and ensure unhindered access to cyber capabilities. Both defensive and offensive cyber capabilities are needed to ensure the protection and freedom of manoeuvre in cyberspace. There is a need to develop together with Member States a voluntary support scheme for offensive cyber capabilities as credible deterrence.
Strategic enablers and critical infrastructure protection: including but not limited to Strategic Airlift and Air-to-Air refuelling aircraft, intelligence and surveillance, maritime domain awareness, use and protection of space and other secure communications assets and military fuel infrastructure

The EU hopes to leverage these priority areas to continue to support Ukraine. The white paper explains its goals for EU support to Ukraine:

The provision of large-calibre artillery ammunition with a minimum objective of 2 million rounds per year.
The provision of air defence systems, missiles (including deep precision strike) and drones are priorities shared by Ukraine and Member States.
Drones are an indispensable capability in redressing the asymmetry of military resources in the field. The EU and its Member States should continue to support Ukraine’s procurement of drones and further support the development of its own production capacity, including through joint ventures between European and Ukrainian industries.
EU and Member States’ efforts to train and equip Ukrainian brigades and actively support the regeneration of battalions must consolidate and continue to develop further and evolve into an essential element of the future military capacity development of Ukraine after any ceasefire.
Direct support to Ukraine’s defence industry is the most effective and cost-efficient way to support Ukraine’s military efforts, notably through direct procurement orders from its defence industry by Member States for donation to Ukraine.
Enhanced Military mobility is needed to ensure smoother deliveries of military assistance.
Enhanced access to EU space assets and services could be a key enabler to enhance Ukraine’s defence capacities.

Notably, the plan excludes the United States, the United Kingdom, and Turkey from participating in joint procurements—an exclusion that may undercut Europe’s ability to stay competitive. The broader challenge facing the EU is its declining edge in economic growth, productivity, and technological innovation. One report highlights that Europe significantly trails the US in investment in frontier technologies—receiving less than 10 percent of global synthetic biology investment and producing half as many patents per capita in areas like digital tech, quantum computing, and big data. Europe is also falling behind in artificial intelligence, having focused more on regulation than advancement. As French President Emmanuel Macron cautioned, “We are regulating ourselves out of the market.” By sidelining key partners like the US and UK from its innovation strategy, Europe risks further weakening its technological and industrial base.

Spoke Story: Australia’s Opposition Leader Outlines Foreign Policy Vision

Australian Opposition Leader Peter Dutton delivered a major foreign policy address at the Lowy Institute, outlining his strategic vision ahead of the upcoming federal election in May. The upcoming election remains highly competitive. While Dutton’s Coalition currently holds a slight lead over the incumbent Labor Party, head-to-head polling shows a 50-50 split. Prime Minister Anthony Albanese maintains an edge in personal popularity, with 45 percent of voters preferring him as Prime Minister compared to 40 percent for Peter Dutton. Given how close the race is, Dutton could be leading Australia in the next few months. Understanding his views on foreign policy are important to understand.

Dutton sharply criticized Prime Minister Albanese for what he described as a weak and reactive foreign policy that fails to safeguard Australia’s national sovereignty. His speech followed a recent Chinese live-fire naval expedition circumnavigating Australian territory—an act of deliberate intimidation. Public concern over national security is also mounting, with just 62 percent of Australians now saying they feel safe, a steep decline from 92 percent in 2010. Dutton argues that he has the right policies to protect Australia.

Dutton criticized the Albanese Government’s support for Ukraine as inconsistent and inadequate, pointing to several failures: the refusal to donate decommissioned MRH-90 Taipan helicopters—instead opting to dismantle and bury them; the dismissal of repeated Ukrainian requests for thermal coal; the failure to deliver promised M1 Abrams tanks; and the prolonged closure of Australia’s embassy in Kyiv, which remained shut for nearly three years while other nations quickly re-established their diplomatic presence.

Dutton emphasized the importance of maintaining a stable and mutually beneficial trading relationship with China, acknowledging the contributions of Australia’s Chinese diaspora and the value of bilateral ties. However, he strongly criticized the Albanese Government for failing to confront the Chinese Communist Party’s military aggression, including the recent unannounced naval exercise around Australia. He argued that this silence reflects political self-interest at the expense of national security and vowed that a Coalition Government would take a firmer stance against foreign interference and regional destabilization, making clear “red lines” and defending democratic values in concert with like-minded allies.

On the Pacific, Dutton underscored the Coalition’s legacy of deepening partnerships through initiatives like the Pacific Step-up, record aid contributions, and maritime security programs. While welcoming the continuation of some Coalition initiatives by the Albanese Government, he accused Labor of politicizing Pacific diplomacy for domestic gain—an approach he believes has weakened Australia's position amid rising competition from China. Dutton pledged that a future Coalition Government would intensify engagement, seek to finalize delayed agreements, and ensure Australia remains the “partner of choice” for Pacific nations by clearly communicating the risks posed by alternative security arrangements that could undermine regional stability.

Finally, Dutton argued that Australia must significantly boost its defense capabilities to both strengthen its alliance with the United States—particularly in the Indo-Pacific, the “theatre of mutual interest”—and enhance national self-reliance in an increasingly volatile strategic environment. He criticized the Albanese Government for stagnant defense spending, excessive reviews, and capability delays, including leaving the Navy with only one operational Collins-class submarine. In contrast, he pledged that a Dutton Coalition Government would make major investments in defense, beginning with $3 billion to reinstate a squadron of F-35s, while revitalizing the domestic defense industry to produce affordable, asymmetric capabilities like drones, missiles, and uncrewed vessels. Framing AUKUS as the linchpin for a seamless US-Australia defense production partnership, Dutton called for rethinking the country’s defense posture through industrial retooling, strategic clarity, and urgent action.

Spoke Story: US Holds Exercises with Indo-Pacific Allies

This week, US and Republic of Korea (ROK) special operations forces (SOF) participated in Exercise Freedom Shield 2025 (FS25), an 11-day training series aimed at enhancing joint combat readiness and interoperability across a range of missions. The training included direct action raids, counter-WMD operations, and coordination across multiple domains, culminating in a high-stakes simulated raid on an underground facility. Brig. Gen. Derek Lipson emphasized the legacy of the Korean War and the need to maintain a credible deterrent force, noting that exercises like FS25 strengthen the Alliance’s ability to defend both nations and ensure stability in the Indo-Pacific.

Simultaneously, Exercise Sea Dragon 2025 (SD25) concluded at Andersen Air Force Base in Guam, where maritime patrol aircraft and crews from Australia, India, Japan, South Korea, and the United States engaged in advanced anti-submarine warfare (ASW) drills. Hosted by Commander, Task Force 72, the exercise included live tracking of a US Navy submarine, use of the MK-30 “SLED” training target, and a competitive phase where the Royal Australian Air Force (RAAF) secured the “Dragon Belt” award for tactical excellence. The event underscored the high level of coordination and shared commitment to a free and open Indo-Pacific among participating nations.

In a further show of regional alignment, the US, Japan, and South Korea conducted a trilateral naval exercise from March 17–20, building on prior operations such as Freedom Edge and January’s trilateral bomber escort flights. The exercise involved the USS Carl Vinson Carrier Strike Group and focused on maritime interdiction, air combat drills, and advanced communications—strengthening interoperability and readiness across all warfare domains. Meanwhile, US Indo-Pacific Command’s Adm. Samuel Paparo traveled to India for the Raisina Dialogue, reinforcing US-India defense ties and promoting the COMPACT initiative, which seeks to deepen cooperation across defense, technology, and economic domains.

Alliance Insights: Key Articles This Week

Japan:

Australia:

South Korea:

The Philippines:

Taiwan:

India:

Pacific Islands:

Hub-and-Spokes

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