The US State Department may sell Taiwan infrared search and tracking systems for F-16 fighter jets, as well as other equipment, worth $500 million, the Pentagon announced on Wednesday.
“The proposed sale of this equipment and support will not change the basic military balance in the region,” the Pentagon said in a statement.
This move could irritate Beijing. China has repeatedly asked the United States — Taiwan’s biggest arms supplier — to stop selling arms to the island.
The Pentagon said the prime contractor would be Lockheed Martin Corp LMT.N, which makes the F-16 jets.
Taiwan’s military spending will increase by 3.5 percent year-on-year, reaching a new record in 2024, Taiwanese President Tsai Ing-wen said. She vowed to improve the country’s defenses amid a growing threat from China, which views Taiwan as its own territory.
$500 million is the maximum possible value of the contract, the Pentagon said.
The United States announced an arms aid package for Taiwan of up to $345 million late last month.
Despite approval from the State Department, the announcement does not clarify whether any contracts have been signed or whether negotiations have been completed.
