The US has reaffirmed its commitment to supporting Taiwan’s domestic defense industry through new initiatives, according to American Institute in Taiwan (AIT) Director Raymond Greene.
In the absence of formal diplomatic relations, Washington conducts its engagement with Taipei through institutions such as AIT, which acts as the de facto US embassy on the self-governed island.
Greene highlighted Northrop Grumman’s establishment of a new medium-caliber ammunition test range in Taiwan, as well as US firms Anduril and Shield AI helping secure the country’s domestic drone supply chains.
The remarks were made during a seminar hosted by the Institute for National Defense and Security Research, a think tank affiliated with Taiwan’s Ministry of National Defense.
They came shortly after Taipei advanced a proposed $40-billion special defense budget that includes several US-made weapon systems and expanded joint production efforts with Washington.
US Defense Firms in Taiwan
Northrop Grumman’s test range in Taiwan is intended to allow the defense ministry to evaluate munitions to global industry standards, supporting indigenous development programs through the transfer of technology, proprietary procedures, and expert training, Greene said.
The test range builds upon Northrop’s previous initiatives to beef up the country’s defenses, including a collaboration with Taiwanese firms to provide the AN/TPS-78 Advanced Capabilities radar for long-range air surveillance.
Meanwhile, Anduril sources Taiwanese components to diversify production of its artificial intelligence-powered Ghost-X drone designed for intelligence, surveillance, and reconnaissance in contested environments.
Shield AI partnered with Taiwan’s Aerospace Industrial Development Corp. in September 2025 to expand the local aerospace industrial base and support next-generation defense technologies, in addition to reportedly investing heavily in Taipei’s supply chain.
The push to strengthen domestic capacity aligns with Taiwan’s broader efforts to secure critical supplies — including joint production of 155mm artillery shells with the US to reduce reliance on external supply chains.
“The objective of all of these efforts is to establish conditions for dialogue free from coercion. The United States has always insisted on the peaceful resolution of cross-Strait differences,” Greene stated.
