S. 1216: Taiwan Allies Fund Act

This bill, known as the Taiwan Allies Fund Act, is intended to support Taiwan's international presence and its relations with other countries. The key components of the bill can be summarized as follows:

Purpose

The bill seeks to enhance Taiwan's ability to participate in international affairs and strengthen its diplomatic relationships, particularly in response to pressures from the People's Republic of China (PRC) seeking to limit Taiwan's international recognition and connections.

Funding Provisions

• Funding Amount: The bill authorizes $40 million annually for the fiscal years 2026, 2027, and 2028 from the Countering PRC Influence Fund to support Taiwan's international initiatives.
• Eligible Countries: Funds can be allocated to countries that either maintain official relations with Taiwan, have strengthened unofficial relations with Taiwan, have faced coercion from the PRC, or lack the capacity to resist such pressure without U.S. support.
• Funding Limitations: No country can receive more than $5 million in any fiscal year from this fund.

Activities Supported by Funding

Funding under this bill may be used for various initiatives, including:

• Health projects that offer alternatives to PRC-led initiatives.
• Development of civil society and media to counter PRC influence.
• Diversifying supply chains to reduce dependence on the PRC.
• Providing alternatives to PRC development aid.
• Facilitating Taiwan's participation in global forums and organizations.
• Working with the private sector to create alternatives to PRC information and communication technology infrastructure.

Reports and Accountability

The bill requires the Secretary of State to submit an annual report on the activities funded by this act for three years after its enactment. These reports must detail the allocated funding, the goals of funded activities, assessments of their success, and contributions made by Taiwan.

Congressional Recommendations

It expresses the sense of Congress that the U.S. Government should:

• Advocate for Taiwan's presence in international organizations.
• Support the preservation and expansion of Taiwan's official diplomatic relations.
• Encourage deeper engagement among countries with unofficial relations with Taiwan.
• Promote economic development for nations supporting Taiwan.

Implementation

The bill outlines that the Secretary of State, in consultation with various U.S. agencies, will oversee the implementation of these initiatives to ensure efficiency and avoid duplication of efforts.

Relevant Companies

None found.