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On the afternoon of April 8, President Lai Ching-te met with a delegation led by United States Senator Jim Banks. In remarks, President Lai thanked Senator Banks and the 36 other bipartisan members of the US Congress who jointly signed a letter regarding Taiwan's special defense budget and expressed support for the strengthening of Taiwan's national defense. President Lai stated that while Taiwan is a peace-loving nation, only through strength can peace be ensured. He added that Taiwan is open to exchanges, but no exchanges should be conducted at the expense of its democracy, freedom, or national interests. Noting that April 10 marks the 47th anniversary of the Taiwan Relations Act, the president said that Taiwan will continue to move forward side by side with the US and like-minded partners to make democracy more resilient and peace more secure, creating a safer and more prosperous future for the next generation.
A translation of President Lai's remarks follows:
First, on behalf of the people of Taiwan, I sincerely welcome Senator Banks on this visit. I would also like to thank him for his longstanding, firm support for Taiwan. His presence here, especially at this critical moment, demonstrates powerful, concrete support for our nation. Over many years, Senator Banks has paid close heed to the security situation in the Indo-Pacific. During his time in the House of Representatives, he introduced numerous pieces of legislation, including the Taiwan Peace through Strength Act and the Taiwan Weapons Exports Act. Through these actions, he has demonstrated strong support for Taiwan-US security cooperation and the enhancement of Taiwan's self-defense capabilities. For this, I also extend heartfelt gratitude.
Taiwan's 2026 annual defense budget, as defined by NATO, has surpassed 3 percent of GDP. This figure is expected to increase to 5 percent of GDP by 2030. Our government has also proposed an eight-year, US$40 billion special defense budget. I would like to thank Senator Banks and the 36 other bipartisan members of Congress who jointly signed a letter regarding this special defense budget in February. The letter underlined China's threats toward Taiwan and expressed clear support for Taiwan's efforts to strengthen its national defense capabilities.
This letter conveyed a very important message – Taiwan is not alone in facing authoritarian expansion and regional security challenges, and we are backed by like-minded partners. Even more importantly, we must also demonstrate the resolve to defend ourselves, maintain stability across the Taiwan Strait, and ensure peace throughout the Indo-Pacific. I hope that members of the Legislative Yuan, regardless of party affiliation, will support the government's comprehensive special defense budget and be our military's strongest backers. Together, we can show the international community that Taiwan is determined to continue strengthening its self-defense capabilities and fulfill the responsibility of maintaining regional security.
I want to emphasize that Taiwan is a peace-loving nation. But only through strength can peace be ensured. Taiwan is open to exchanges, but no exchanges should be conducted at the expense of our democracy, freedom, or national interests. This year marks 30 years of direct presidential elections in Taiwan. Three decades ago, we faced the threat of missiles from China. Yet the people of Taiwan did not back down; instead, they resolutely cast their votes. Thirty years on, we are determined to continue upholding the values of freedom and democracy and safeguard Taiwan's hard-won achievements as a democratic and prosperous nation.
We will not forget how the US took concrete action to safeguard regional peace and stability during the 1996 Taiwan Strait Crisis. And this Friday, April 10, marks the 47th anniversary of the Taiwan Relations Act. Through our joint efforts, Taiwan and the US have become crucial partners in defense and security, trade and economic exchanges, technological development, and upholding regional peace and stability. We look forward to even more exchanges and cooperation in the future.
I once again thank Senator Banks for visiting Taiwan at this meaningful time, as well as for supporting legislation in Congress regarding Taiwan-US double taxation. A resolution to this issue will greatly enhance our economic and trade partnership. Taiwan will continue moving forward side by side with the US and all like-minded partners as we work to make democracy more resilient and peace more secure, creating a safer and more prosperous future for the next generation .
Senator Banks then delivered remarks, stating that it is an honor to meet with President Lai and to visit Taiwan for the first time. He said that Taiwan is a great country that is proud of its democracy and freedom, and that the most important purpose of his visit is to reiterate that the US always has and always will stand with Taiwan. Senator Banks then expressed his appreciation for President Lai's leadership, saying that both President Lai and US President Donald Trump are great leaders who are clear-eyed about the threats we face, not just from communist China, but from around the world.
Senator Banks stated that no matter how hard the Chinese Communist Party tries, the world will always know the truth. He continued on to say that Taiwan is important because of its democratic legacy, that Taiwan is essential to the modern global economy and our shared prosperity, and that Taiwan is an indispensable partner for a free and open Indo-Pacific.
The senator indicated that President Trump and President Lai have worked hard to make US-Taiwan relationships and partnerships advance to new heights. He then cited several examples, noting that December 2025 saw the largest US arms sale to Taiwan in history, and that the two sides signed an MOU on investment in January 2026 promoting US$250 billion of Taiwanese investment in the US, including another US$250 billion in credit guarantees. He added that in February 2026, the US-Taiwan Agreement on Reciprocal Trade opened market access and cut tariffs, noting that this was directly due to President Lai's leadership.
Senator Banks went on to say that his home state of Indiana has benefited greatly from the Taiwan-US trade relationship, and that Taiwan and Indiana have reached US$1.4 billion in trade. He also noted that Taiwan Semiconductor Manufacturing Company is making critical investments in the workforce of the future at Purdue University. As Taiwan invests more in America, he said, there is no better place to invest in than Indiana.
On the topic of security, Senator Banks pointed out that President Trump is advocating for a US$1.5 trillion defense budget, marking a substantial increase in defense spending in the US, and that President Lai is also providing leadership to grow defense spending to keep Taiwan's people safe. However, he added, the Legislative Yuan must do its part and pass the special defense budget, which will be a signal to China and to the rest of the world that Taiwan is serious about peace through strength.
Senator Banks said that he has enjoyed his first trip to Taiwan, and has enjoyed Taiwan's food, has made great new friends, and looks forward to coming back. He added that the American-Taiwanese friendship will last forever, and that he looks forward to playing a big role in that friendship.
The senator indicated that Indianapolis, the capital city of Indiana, is a sister city to Taipei. He then expressed hope that he will be able to host President Lai in Indianapolis on his next visit to the US. Senator Banks closed his remarks by stating that he looks forward to further discussion with President Lai, as well as sharing what he learned during his visit with his colleagues in Washington, DC.
The delegation was accompanied to the Presidential Office by American Institute in Taiwan Taipei Office Director Raymond Greene.
