H.R. 2559: Taiwan Allies Fund Act

The Taiwan Allies Fund Act aims to bolster Taiwan’s international presence and relationships amid ongoing diplomatic pressures from the People's Republic of China (PRC). It seeks to provide support to countries that maintain or strengthen unofficial relations with Taiwan, especially those pressured by China.

Key Provisions

Authorization of Appropriations

The bill authorizes $40,000,000 per fiscal year for 2026, 2027, and 2028 to support Taiwan's international standing, allocated from the Countering PRC Influence Fund.

Eligible Countries

Funds may be used in countries that:

• Have official relations with Taiwan or have strengthened unofficial ties.
• Have faced coercion from the PRC due to their relations with Taiwan.
• Lack economic or political capacity to effectively counter such coercion without U.S. support.

Use of Funds

The authorized funds can support various initiatives, which may include:

• Health initiatives as alternatives to those provided by the PRC.
• Strengthening civil society and media against PRC influence.
• Diversifying supply chains away from China.
• Providing alternatives to PRC development aid and project financing.
• Facilitating Taiwan's participation in international organizations.
• Collaborating with the private sector for alternatives to PRC technology infrastructure.

Funding Limitations

No single country can receive more than $5,000,000 from the fund in any fiscal year.

Implementation and Coordination

The Secretary of State is responsible for implementing the activities under this act, in coordination with relevant U.S. agencies and Taiwan. The act suggests Taiwan should also contribute assistance to eligible countries.

Reporting Requirements

The Secretary of State must report annually to Congress on the activities funded under this act, including funding amounts, goals, and evaluations of success.

Sense of Congress

The legislation states that the U.S. Government should:

• Advocate for Taiwan's global presence.
• Promote Taiwan's official diplomatic relations.
• Enhance unofficial relations.
• Encourage deeper engagement with countries that have unofficial ties to Taiwan.
• Support economic development in countries that back democratic partners like Taiwan.

Findings

The bill starts with findings that stress Taiwan's importance as a democratic nation and the PRC's ongoing efforts to isolate it diplomatically. It references previous U.S. legislation that supports Taiwan's relationships and the resistance against coercion from the PRC.

Relevant Companies

None found