Taiwan is moving ahead with plans to build its own submarines, with an initial design to be completed by year-end, after lengthy delays in getting eight vessels under a 2001 U.S. defense deal and as China's navy expands rapidly.

While major obstacles remain, such as overcoming significant technical challenges and what will almost certainly be strenuous objections from Beijing, a political consensus has emerged in Taiwan in recent months that it can wait no longer, officials and lawmakers said.

China is Taiwan's largest trading partner and economic ties have warmed since China-friendly President Ma Ying-jeou came to power in 2008. But Beijing regards Taiwan as a renegade province and has never renounced the use of force to bring the proudly democratic island under its control.