German Clouded Leopard II tank
In a surprising move, Taiwan’s army rejected the latest Clouded Leopard II prototype due to its weak 105 mm cannon. The Armaments Bureau confirmed the army won’t accept the tank until it upgrades to a more powerful 120mm gun.
This decision has temporarily halted progress on the ambitious Clouded Leopard Project. Announced in April 2025, the move comes as Taiwan faces increasing pressure to modernize amid rising tensions with China.
Why would a cash-strapped nation defer defense over a minor technical issue during a crisis? The answer lies in more than just firepower—it reflects Taiwan’s complex defense needs and political environment.
Taiwan seeks both stronger weapons and greater self-reliance in its defense technology. Balancing domestic priorities with military urgency complicates every choice for Taipei.
Clouded Leopard II
China’s Clouded Leopard II is an 8×8 wheeled armored vehicle built for mobility, cost-efficiency, and firepower in battle. It follows the CM-32 Clouded Leopard, in service with Taiwan’s army and military police since 2010.
That earlier model was designed to fight enemy tanks and support infantry operations on rough terrain. The new D2 prototype includes a 105mm assault gun and two machine guns—one 7.62mm coaxial and one 12.7mm remote-controlled.
Similar to the U.S. M1A2 Abrams, the D2 incorporates sophisticated hunter-killer systems for detecting and engaging with targets. These systems let the commander track targets while the gunner takes aim and fires in real time. During tests, the D2 fired armor-piercing rounds that penetrated 500 mm of steel from 2,000 meters away.
This performance showed it has strong potential for missions against heavily armored vehicles.
The eight-wheeled chassis of the vehicle was created by the Armaments Bureau and the Industrial Technology Research Institute in Hsinchu. Changes such as exposed exhaust vents have improved it, setting it apart from the earlier CM-32.
China’s People’s Liberation Army
Its design makes it easy to move around Taiwan’s varied landscape, from cities to mountainous areas, while keeping costs lower than those of traditional main battle tanks.
Despite these improvements, the Taiwanese army considered the 105-millimeter gun inadequate for today’s battlefields. China’s People’s Liberation Army, rapidly modernizing its armored forces, posed a growing threat, prompting the decision to upgrade.
With its 125-millimeter smoothbore gun, China’s Type 99A main battle tank is a very tough opponent. The Type 99A is an improvement on earlier Chinese tank designs.
It has advanced fire control systems, composite armor, and the ability to fire laser-guided anti-tank missiles, which makes it very flexible and well-armed.
The Clouded Leopard II’s 105-millimeter gun, on the other hand, can hit lighter armored vehicles, but it has trouble hitting modern Chinese tanks with their thicker armor and reactive protection systems.
If the Clouded Leopard II were equipped with a 120-millimeter cannon, it would match the deadly capabilities of the U.S. M1A2 Abrams, the German Leopard 2, and even the Italian Centauro II, a wheeled tank destroyer.
The Island’s Geography
Taiwan wants a bigger caliber not just because it’s better technically but also because it meets its specific defensive needs. The island’s geography—its dense cities, narrow coastal plains, and rough interior—requires platforms that are flexible and easy to move around.
Wheeled vehicles, like the Clouded Leopard II, are faster and easier to maneuver than traditional tracked tanks. Such versatility is important for quick action in case of an invasion. But mobility by itself isn’t enough if the vehicle lacks heavy armor to stop threats.
The army’s decision to reject the 105-millimeter prototype is similar to what the National Audit Office said in a report in 2021: the Ministry of Defense should not have moved forward with the Clouded Leopard Project without fully proving that it could be used in combat against modern enemies.
The army declared, “We cannot accept this vehicle for deployment unless we upgrade the Leopard’s cannon to 120 mm.” The incident showed how important it is to have weapons that can fight potential enemies.
We must view Taiwan’s decision in the context of its broader military modernization efforts, increasingly shaped by the threat of Chinese aggression.
M1A2T Abrams tanks
China has added more advanced weapons to its military over the past ten years, including hypersonic missiles, stealth fighters, and amphibious assault ships.
Reuters reported in January 2025 that Chinese warships and warplanes were doing “combat patrols” around Taiwan. These actions showed that Beijing wanted to keep putting pressure on the island.
In response, Taiwan has tried to strengthen its defenses by both buying things from other countries and coming up with new ideas at home.
Taiwan received its first M1A2T Abrams tanks from the US in December 2024. These tanks are a big step up from the old M60A3 and CM11 tanks, which use 105-millimeter guns.
Taiwan specifically designed the M1A2T. It has a 120-millimeter smoothbore gun, advanced thermal sights, and better armor, which makes it a key part of the island’s armored forces.
However, the Abrams, which weighs more than 60 tonnes, is not as well suited to Taiwan’s infrastructure. Bridges and roads may not be able to support its weight.
NT$768 million (about $24 million)
Taiwan designed the Clouded Leopard II to support heavier tanks with a lighter, more mobile platform for rapid deployment.
By rejecting the Clouded Leopard II prototype, Taiwan highlighted a deeper issue in its defense strategy—balancing self-reliance with speed.
Due to diplomatic pressure from China, only a few countries are willing to sell weapons to Taiwan. The island has therefore heavily invested in its defense sector.
The Clouded Leopard Project, which began in 2021 with a budget of NT$768 million (about $24 million), aimed to make a car with 89% parts from Taiwan, reducing the country’s reliance on foreign suppliers.
The NT$290 million D3 prototype is currently being built and is meant to address the army’s concerns by adding a 120-millimeter gun and lowering the vehicle’s height from 3.3 meters to 3 meters to make it more stealthy and simple to maneuver.
Still, adding a bigger cannon to a platform on wheels is a very difficult engineering task. The additional weight and recoil could potentially reduce the vehicle’s stability and mobility, necessitating a redesign. A redesign could potentially delay production beyond the projected completion date of 2025.
Italy’s Centauro II
Taiwan is not the only country trying to become technologically independent. To meet the same needs, other countries have made wheeled tank destroyers.
For example, Italy’s Centauro II has a 120-millimeter gun and a wheeled chassis. Its balance of firepower and mobility has made it a model for modern armored vehicles.
Japan’s Type 16 Maneuver Combat Vehicle, which has a 105-millimeter gun, is designed to be fast and simple to deploy so that it can respond quickly on its island terrain.
Japan can defend itself against less heavily armored threats with the Type 16’s lighter weapons, but Taiwan has to deal with a stronger enemy in China, so they need more firepower.
Therefore, the development of the Clouded Leopard II poses a risk: can Taiwan create a platform that competes with Western designs while also addressing the urgent needs of its security environment?
Politics at home and public expectations make the project even harder to complete. People in Taiwan are very proud of their country’s technological progress, and their defense industry is considered a sign of how strong they are against Chinese pressure.
The public and the government expect the Clouded Leopard II to produce world-class equipment, similar to Taiwan’s own submarine program.
The army may not have liked the prototype because of disagreements within the army about how to use resources and set strategic priorities.
Vice Minister of Armaments Hsu Yen-pu
Vice Minister of Armaments Hsu Yen-pu, who had led the project, retired in January 2025. Around the same time, the M1A2T tanks arrived, which could have meant that the focus shifted from improving domestic systems to integrating foreign ones.
In local media, people often say that Taiwan’s military hardware should be on par with or better than that of its allies. This perception may have influenced the army’s strict requirements.
The decision also raises questions about Taiwan’s broad defense strategy and future military plans. Recently, Taiwan has leaned on asymmetric warfare, using low-cost tools like drones and anti-ship missiles to counter China.
While the Clouded Leopard II is cheaper than main battle tanks, it’s still a major investment in traditional armor. Some experts argue funds should go to asymmetric weapons that exploit China’s weaknesses, like its maritime supply lines.
Others believe Taiwan needs tanks and mobile armor to stop amphibious landings and defend key areas. Over the years, Taiwan’s armored forces have adapted to its geography and evolving threats.
Taiwan prepared for Chinese invasions during the Cold War by using M48 and M60 tanks that the United States provided. In the 2000s, Taiwan shifted to lighter vehicles like the CM-32, better suited for local terrain.
The Clouded Leopard II aimed to modernize that legacy while addressing China’s growing armor strengths. However, rejecting it shows how challenging it is to balance ambition with practical battlefield needs.
Conclusion
In a broader sense, Taiwan’s problem is typical of how small countries confront rivalries between big powers. The US, which is Taiwan’s main security partner, has been providing more military aid recently. Taiwan will receive $360 million worth of weapons, including drones and missile systems, in 2024.
But Washington limits its help because it must balance support for Taipei with avoiding direct conflict with Beijing. Taiwan demonstrates its push for independence through the Clouded Leopard Project, blending strategic necessity with a statement of autonomy.
Taiwan’s defense industry has reached a crucial milestone by rejecting the Clouded Leopard II prototype. This decision shows Taiwan’s determination to acquire advanced weapons against a rapidly modernizing enemy, even if delays are necessary.
This decision demonstrates the challenge of developing advanced weapons in the face of limited resources and external pressure. Taiwan must solve D3 prototype issues and discover ways to use its limited resources.
Will Taiwan’s pursuit of a 120-millimeter-wheeled tank make it more dangerous, or does it run the risk of taking attention away from more important issues? This decision could impact the island’s ability to defend itself in an increasingly dangerous region.
References
- Taiwan unveils next-gen Clouded Leopard II armoured vehicle – Taipei Times
- Taiwan military to test new wheeled tank destroyer – Taiwan News
- M1A2T Abrams tanks delivered to Taiwan—Reuters
- China’s Type 99A MBT analysis – Army Recognition
- National Audit Office report on Clouded Leopard Project – Control Yuan (Taiwan)
- Centauro II wheeled tank destroyer specifications – Army Recognition
- Japan’s Type 16 MCV profile – Military Today
- Taiwan’s asymmetric defence strategy—The Diplomat
- US arms sales to Taiwan in 2024 – Defense News
- Taiwan’s Indigenous Defense Submarine Launch – BBC News
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