The Cabinet-level Mainland Affairs Council said in a statement issued Thursday that there would be no giving in or making of concessions to Beijing and said the situation was being closely monitored, AP reported.
China held live-fire exercises off its southeast coast on Wednesday involving an air unit of the People's Liberation Army (PLA).
The PLA said the exercise involved the coordination of various types of armed helicopters that detected targets on the water and attacked them.
China claims Taiwan as its own territory and says the sides, which separated during the Chinese civil war in 1949, must eventually be united, by force if necessary.