Sponsors (32)
The bill strengthens U.S. support for Taiwan and provides targeted funding to help partners counter PRC influence—boosting regional stability, multilateral cooperation, civil society, and business opportunities—while raising the likelihood of increased tensions with China, modest taxpayer costs, and limits on program scale and oversight.
Taxpayers and the U.S. government signal stronger diplomatic and deterrent support for Taiwan, which is likely to strengthen regional stability and deter coercion.
The bill authorizes predictable funding (authorized $40M/year FY2026–FY2028; roughly $120M total) and programs to help partner countries counter PRC influence—supporting public health, civil society, ICT alternatives, and supply‑chain diversification—creating export and investment opportunities for U.S. firms.
U.S. diplomatic backing and measures to increase Taiwan’s meaningful participation in international organizations should improve multilateral cooperation on public health, aviation, and other global issues.
Stronger U.S. support for Taiwan and programs to counter PRC influence are likely to raise geopolitical tensions with the PRC, risking economic retaliation that could increase costs for U.S. consumers and harm exporters and businesses.
Reinforcing obligations to deter coercion could lead to expanded U.S. security commitments in the region and higher defense-related spending borne by U.S. taxpayers.
The authorized programs and incentives require federal funding (roughly $120M over three years) and could entail additional program or trade costs, creating a fiscal burden and potential budget tradeoffs for taxpayers.
Based on analysis of 4 sections of legislative text.
Creates a Taiwan Allies Fund authorizing $40M per year (FY2026–FY2028) to finance health, civil-society, supply-chain, development-finance, ICT, and international-engagement support for countries that back Taiwan.
Introduced April 1, 2025 by S. Raja Krishnamoorthi · Last progress April 1, 2025
Creates a three-year "Taiwan Allies Fund" with authorized transfers of $40 million per year (FY2026–FY2028) from the Countering PRC Influence Fund to help countries that maintain or strengthen ties with Taiwan. The fund can finance health alternatives, civil society and media resilience, supply-chain diversification away from the PRC, alternatives to PRC development finance, support for Taiwan’s participation in international fora, and alternatives to PRC ICT infrastructure, with a $5 million per-country annual cap and regular reporting to Congress by the Department of State. Implementation is led by the Secretary of State in coordination with USAID, the American Institute in Taiwan, and other agencies; funds may be treated and transferred as foreign assistance and remain available until expended. The law also states congressional findings and a nonbinding sense of Congress urging U.S. support for Taiwan’s international space and for strengthening ties between Taiwan and partner countries.