Two Taiwanese executives have been detained on allegations of incorporating mainland Chinese-made components in drones supplied to Taiwan’s military, marking the second such case in recent months to raise concerns about supply chain security in the island’s defense sector.
Prosecutors in Taoyuan disclosed on Monday that Jin Ming Industry and its subsidiary are suspected of installing Chinese-manufactured chips and camera lenses in drones delivered to the Taiwanese armed forces. The companies allegedly submitted falsified certificates of origin to military inspectors during the acceptance process, according to the Taoyuan District Prosecutors Office.
Jin Ming’s vice-chairman, Chien Hao-ting, and business manager Chen Yang-cheng were arrested on October 8. A court has ordered their detention for two months under suspicion of violating the National Security Act, with charges including document forgery and aggravated fraud. Both detainees have been placed incommunicado.
Jin Ming, a hardware manufacturer that expanded into drone production several years ago, said it would cooperate fully with the investigation. The company has also activated contingency measures, appointing chairman Tsai Hsiang-feng to temporarily oversee Chien’s duties.
Taiwan’s defense minister, Wellington Koo Lih-siung, indicated that the disputed drone acquisitions involved relatively small orders—sometimes comprising only two to four units—made by individual military units rather than through major procurement programs. He acknowledged that such minimal purchases had not routinely undergone detailed inspections, including dismantling of the drones to verify component origins.
To address potential security vulnerabilities, the Ministry of National Defense will now require all batches, regardless of size, to be thoroughly disassembled and inspected to prevent the concealment of prohibited “red” components originating from mainland China. “We will enforce this strictly,” Koo said.
The incident has drawn criticism from opposition parties who question the government’s ability to ensure supply chain integrity amid rising concerns over dependence on Chinese technology. The Taiwan People’s Party (TPP) highlighted what it called shortcomings in the ruling Democratic Progressive Party’s (DPP) oversight of defense contractors. TPP chairman Huang Kuo-chang questioned the government’s responsibility, stating that “Jin Ming was selected as a member of the national drone team, but was found to have allegedly used mainland Chinese-made components. Does no one in the DPP government need to take responsibility?”
Earlier in August, another Taiwanese drone supplier, Hang Jian Technology, was similarly investigated for using prohibited mainland components. Kuomintang legislator Ma Wen-chun pointed out that Hang Jian had faced controversy over component origin and labeling issues as far back as 2019, yet it continued to receive government contracts and financial support. Ma urged a comprehensive approach to vetting the entire supply chain—not only major contractors but also sub-suppliers of chips, flight-control systems, and communications modules. “If contracts repeatedly stipulate that mainland Chinese-made components are prohibited, but violations are still only discovered during acceptance inspections after delivery, what exactly has all that vetting prevented?” she asked.
The government’s drone program, aimed at establishing a “non-red” supply chain that excludes components and technology from mainland China, now faces intensified scrutiny amidst these latest revelations. Officials have indicated measures will be strengthened to close oversight gaps and enhance the reliability of Taiwan’s indigenous defense capabilities.