The US suspends $14 billion in arms sales to Taiwan! Acting Secretary of the Navy reveals the reason: munitions must be reserved for the war with Iran

Acting Secretary of the Navy Hung Cao confirmed at a Senate hearing that Washington has suspended a $14 billion arms sale to Taiwan, citing the need to preserve ammunition stockpiles for the military operation codenamed "Epic Fury" against Iran. This largest-ever arms package for Taiwan had already passed Congress but requires Trump's signature to proceed. Trump’s stance has become ambiguous following his meeting with Xi Jinping, with the President even suggesting the deal could be used as a "negotiating chip." (Context: Waymo autonomous vehicles repeatedly drove into flooded areas; Robotaxi service suspension expanded to four cities) (Background: JPMorgan Chase spent hundreds of millions of dollars to build the Kinexys private blockchain for $2 billion in daily settlements, but its latest tokenized fund, JLTXX, is running on the Ethereum public chain) A major variable has emerged in U.S. arms sales to Taiwan. On May 21, Acting Secretary of the Navy Hung Cao stated publicly at a Senate Appropriations Subcommittee hearing that because the U.S. military is conducting the operation codenamed "Epic Fury" against Iran, it must ensure sufficient ammunition reserves, leading to the suspension of a $14 billion (approximately NT$455 billion) arms sale to Taiwan. This marks the first time a high-ranking U.S. official has explicitly confirmed the suspension of the sale since the U.S. and Iran reached a ceasefire agreement on April 8. For Taiwan, this largest-ever arms purchase, once seen as a critical step in strengthening asymmetric warfare capabilities, now faces a clouded future. The $14 billion arms package was passed by the U.S. Congress in January of this year, representing the largest weapons transfer to Taiwan to date, surpassing the previous $11 billion package approved by Trump in December 2025. However, congressional passage is only the first step; the deal requires Trump's signature to officially take effect. The key turning point occurred in mid-May—after Trump visited Beijing and met with Chinese President Xi Jinping, his attitude toward the arms sale shifted from previous support to ambiguity. In an interview with Fox News, he stated he "might approve it, or might not," and bluntly remarked that the sale could be used as a "negotiating chip," a comment that breaks decades of U.S. diplomatic precedent of not consulting Beijing on arms sales issues. At the hearing, Hung Cao stated that the final decision would be made jointly by Secretary of Defense Pete Hegseth and Secretary of State Marco Rubio. In response to the news of the U.S. suspension, Taiwan's Premier Cho Jung-tai told the media on May 22 that Taiwan will continue to pursue the arms purchase and will not give up any opportunity to strengthen its self-defense capabilities. However, William Yang, a senior analyst for Northeast Asia at the Crisis Group, stated bluntly on social media that this suspension would "exacerbate anxiety and skepticism within Taiwan regarding U.S. support" and "make it more difficult for the Taiwan government to lobby Congress for increased defense budgets in the foreseeable future." - Taiwan's side: Cho Jung-tai emphasized that the government will continue to push for the procurement process but did not disclose specific response strategies. - U.S. position: The Acting Secretary of the Navy stated that arms sales would resume "when the executive branch deems it necessary," but provided no timeline. - Analyst perspective: William Yang believes the suspension will damage U.S.-Taiwan mutual trust and make securing defense budgets more difficult. Trump's actions regarding Taiwan extend beyond the suspension of arms sales. This week, he further indicated that he is considering a direct call with Taiwan President Lai Ching-te regarding the arms sale issue. If realized, this would break nearly 40 years of diplomatic precedent in which the U.S. does not engage in direct dialogue with sitting Taiwanese leaders, and would almost certainly trigger strong protests from Beijing. Trump spoke with then-President Tsai Ing-wen after winning the 2016 election, but he had not yet taken office at the time; if he were to hold such a call as a sitting president, the political impact would be far greater than it was then. What warrants Taiwan's attention is that this is not the first time U.S. global military commitments have impacted arms sales to specific allies. Over the past two years, due to military aid to Ukraine and Israel, the U.S. has faced shortages of precision-guided munitions several times, leading to delays in weapons deliveries to other regions. Although the "Epic Fury" operation is currently paused due to the ceasefire, no permanent peace agreement has been signed between the U.S. and Iran, and the U.S. military remains in a state of high readiness. Under the structural constraints of limited global military resources, U.S. arms sales to Taiwan are facing direct competition from the "crowding-out effect"