Taiwan packed its new coast guard vessels with anti-ship missiles. Now it's readying them for a fight with China.

The CG606 Bali is loaded with Hsiung Feng missile launchers. Lin Yen Ting/Taiwan's Office of the President

Taiwan held a littoral combat drill on Saturday headlined by a coast guard vessel, the Bali.

It's an Anping-class frigate, one of 12, that can be fitted with 16 anti-ship missiles.

It's part of Taiwan's strategy for the coast guard to serve as a second navy in the event of war.

TSOYING, TAIWAN — One of Taiwan's new missile-capable coast guard vessels led a major littoral drill on Saturday, as the island entered the fourth day of its annual military exercises.

The Bali, an Anping-class ship, headlined the joint drill on Taiwan's southwest coast that simulated an amphibious landing attack by Chinese forces. Four of the island's smaller Kuang-6 missile boats, special forces on rigid-hull inflatable boats, and mid-range attack drones also featured.

Taiwan's president, Lai Ching-te, watched the Kuang-6 boats launch a rapid sortie as the Bali held position in Tsoying Port, Taiwan's largest naval base. It later sailed out to

The CG606 Bali, an Anping-class frigate, is a coast guard vessel capable of firing anti-ship missiles. Matthew Loh for Business Insider

In wartime, the 750-ton Anping-class frigate can be fitted with up to 16 of Taiwan's homegrown Hsiung Feng anti-ship missiles, fired from containerized box launchers mounted at an upward angle.

The Bali was loaded with these box launchers in a separate drill on Thursday. Its inclusion in Saturday's drill, run primarily by the Taiwanese navy, shows how the island plans for its coast guard to operate jointly with its main fighting fleet in the event of war.

The frigates' missile capability turns them essentially into dual-use ships. Taiwan can use the vessels to patrol its waters during peacetime and convert them into secondary warships within hours.

The patrol vessel is heavily based on a Taiwanese naval corvette, the Tuo Chiang, and features a catamaran hull that allows it to sail more smoothly and faster in the rough seas of the Taiwan Strait.

The Hsiung Feng II and III are Taiwan's homegrown anti-ship missiles, and can be fired from mobile ground launchers or vessels like the Anping-class frigate. SAM YEH/AFP via Getty Images

They're fairly new: Taiwan commissioned the final of its 12 Anping-class vessels in May. Taipei has built the fleet as it grows increasingly concerned over Chinese gray-zone warfare, or hostile actions that don't constitute a declaration of war, such as intercepting Taiwanese civilian boats or repeatedly crossing into the island's territorial waters.

If all of the dozen Anping-class frigates are fully equipped for war, Taiwan's coast guard could field a second navy that could be armed with up to 192 anti-ship missiles at once.

Local media outlet Liberty Times reported on Monday that Taipei is stockpiling an additional 96 reserve missiles for the coast guard, bringing its total arsenal to 288.

Beijing also fields an extensive coast guard fleet , which includes over 250 vessels each displacing over 500 tons, that international observers say could easily be requisitioned to support or supplement its navy.

A Kuang-6 missile boat prepares for a rapid sortie. Matthew Loh for Business Insider

Taiwan is running its 42nd annual Han Kuang exercise, an islandwide simulation of a mainland China attack . This year's drills are expected to run for a total of 10 days and 9 nights.

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