U.S. approves potential US$440m sale of ammunition and logistics support to Taiwan

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30th June 2023 – (Washington) The U.S. State Department has approved the potential sale of ammunition and logistics supply support to Taiwan, in two separate deals valued at up to $440 million. The announcement was made by the Pentagon on Thursday.

Taiwan has requested to purchase 30mm ammunition, which includes high explosive incendiary-tracer rounds, multi-purpose rounds, and training rounds, for an estimated cost of $332.2 million. The principal contractors for this deal will be Alliant Techsystems Operations and General Dynamics.

In addition to the ammunition, Taiwan has also requested to buy a Blanket Order Cooperative Logistics Supply Support Arrangement for an estimated cost of $108 million. This logistics arrangement will support the purchase of spare and repair parts for wheeled vehicles, weapons, and other related elements.

The proposed sales have been notified to Congress by the Pentagon’s Defence Security Cooperation Agency. The approval of these deals is part of the U.S. government’s commitment to help Taiwan maintain its self-defence capabilities.

The approval of these potential sales is likely to further strain U.S.-China relations, which have already been tense over a number of issues,