Office of the President Republic of China(Taiwan)

On April 10, an article penned by President Lai Ching-te entitled “Taiwan Has a Roadmap for Deeper US Trade Ties” was published by Bloomberg News, explaining to a global audience Taiwan’s strategy on trade with the United States, as well as how Taiwan will engage in dialogue with the aim of removing bilateral trade barriers, increasing investment between Taiwan and the US, and reducing tariffs to zero. The following is the full text of President Lai’s article: Last month, the first of Taiwan’s 66 new F-16Vs rolled off the assembly line in Greenville, South Carolina. Signed during President Donald Trump’s first term, the $8 billion deal stands as a testament to American ingenuity and leadership in advanced manufacturing. Beyond its economic impact – creating thousands of well-paying jobs across the US – it strengthens the foundations of peace and stability in the Indo-Pacific.  This deal is emblematic of the close interests shared between Taiwan and the US. Our bond is forged by an unwavering belief in freedom and liberty. For decades, our two countries have stood shoulder-to-shoulder in deterring communist expansionism. Even as Beijing intensifies its air force and naval exercises in our vicinity, we remain resolute. Taiwan will always be a bastion of democracy and peace in the region. This partnership extends well beyond the security realm. Though home to just 23 million people, Taiwan has in recent years become a significant investor in America. TSMC recently announced it will raise its total investment in the US to $165 billion – an initiative that will create 40,000 construction jobs and tens of thousands more in advanced chip manufacturing and R&D. This investment will bolster the emergence of a new high-tech cluster in Arizona. Taiwan is committed to strengthening bilateral cooperation in manufacturing and innovation. As a trade-dependent economy, our long-term success is built on trade relationships that are fair, reciprocal and mutually beneficial. Encouraging Taiwanese businesses to expand their global footprint, particularly in the US, is a vital part of this strategy. Deepening commercial ties between Taiwanese and American firms is another. These core principles will guide our response to President Trump’s reciprocal tariffs. First, we will seek to restart trade negotiations with a common objective of reducing all tariffs between Taiwan and the US. While Taiwan already maintains low tariffs, with an average nominal rate of 6%, we are willing to further cut this rate to zero on the basis of reciprocity with the US. By removing the last vestiges to free and fair trade, we seek to encourage greater trade and investment flows between our two countries. Second, Taiwan will rapidly expand procurement of American goods. Over the past five years, rising demand for semiconductors and AI-related components has increased our trade surplus. In response to these market trends, Taiwan will seek to narrow the trade imbalance through the procurement of energy, agriculture and other industrial goods from the US. These efforts will create thousands of new jobs across multiple sectors.  We’ll also pursue additional arms procurements that are vital to our self-defense and contribute to peace and stability over the Taiwan Strait. During President Trump’s first term, we secured $18 billion in arms deals, including advanced fighter jets, tanks and anti-ship missiles. Future purchases, which are not reflected in trade balances, build on our economic and security partnership while being essential to Taiwan’s “Peace Through Strength” approach. Third, new investments will be made across the US. Already, Taiwanese firms support 400,000 jobs throughout all 50 states. Beyond TSMC, we also see emerging opportunities in electronics, ICT, energy and petrochemicals. We will establish a cross-agency “US Investment Team” to support bilateral trade and investment – and we hope that efforts will be reciprocated by the Trump administration. Fourth, we are committed to removing non-tariff trade barriers. Taiwan will take concrete steps to resolve persistent issues that have long impeded trade negotiations. And finally, we will strongly address US concerns over export controls and improper transshipment of low-cost goods through Taiwan. These steps form the basis of a comprehensive roadmap for how Taiwan will navigate the shifting trade landscape, transforming challenges in the Taiwan-US economic relationship into new opportunities for growth, resilience and strategic alignment. At a time of growing global uncertainty, underpinned by growing Chinese assertiveness, closer trade ties are more than sound economics; they are a critical pillar of regional security. Our approach is long-term and principled, grounded in a lasting commitment to our friendship with the US, a firm belief in the benefits of fair and reciprocal trade, and an unwavering dedication to peace and stability across the Taiwan Strait. We are confident that our shared economic and security interests will not only overcome turbulence in the international trade environment – they will define the future of a free and open Indo-Pacific.

On the afternoon of November 18, President Lai Ching-te attended the opening of the 2024 European Union Investment Forum. In remarks at the event, President Lai stated that as we face the threat of expanding authoritarianism, Taiwan and the EU must form a strong democratic umbrella, and that, more than ever, we must come together to build supply chains for global democracies that are more secure and resilient. The president expressed hope for the signing of an economic partnership agreement (EPA) between Taiwan and the EU, which would make both our economies more resilient and secure and ensure the stable operation of global supply chains. He also expressed hope that Taiwan and Europe will continue to build on our bilateral ties and make every moment the best moment for Taiwan-EU relations.  A transcript of President Lai’s remarks follows: I am honored to be here today with all of you, to witness the five-year milestone of the EU Investment Forum, an important platform for envisioning the future of collaboration between Taiwan and the EU. The forum has boosted Taiwanese investment in Europe, while helping the EU to remain Taiwan’s largest source of foreign investment over several years. I would especially like to thank the EETO [European Economic and Trade Office], our Ministries of Foreign Affairs and Economic Affairs, and all the co-organizers for their combined efforts. I am sure that today’s forum will enrich the already fruitful cooperation between Taiwan and the EU. Taiwan and the EU share the values of freedom and democracy, and each of us is an indispensable strategic partner. As we face the threat of expanding authoritarianism, Taiwan and the EU must form a strong democratic umbrella. And, more than ever, we must come together to build supply chains for global democracies that are more secure and resilient. Building on this solid foundation, Taiwan will work to further expand cooperation with the EU. In recent years, we have promoted the Taiwan-Europe Connectivity Initiative, Central and Eastern Europe Credit Fund, and cooperation in the semiconductor industry. Each of these major policies reinforces the goals of the EU Investment Forum, and brings Taiwan and the EU into a much deeper partnership in high tech, green energy, and other sectors. Last year, Taiwan initiated 22 new investment projects in the EU, totaling over US$4.9 billion – an impressive growth of 750 percent from 2022. We see many big-name Taiwanese enterprises expanding their presence in the EU market. And we hope to see many more European enterprises do the same by investing in Taiwan, which will benefit both of us, as we leverage our industrial strengths. Looking to the future, Taiwan hopes to take an innovative approach toward the signing of an economic partnership agreement with the EU. Such an agreement would deepen our mutually beneficial partnership and set a sound institutional basis for further cooperation. The EU released its European Economic Security Strategy last year, followed by a set of five initiatives this year to strengthen economic security. Both specifically emphasize “partnering with the broadest possible range of countries” to advance economic security interests. Given this direction of policy, cooperation between Taiwan and the EU is essential. I believe that through an EPA, Taiwan and the EU can open up cooperation in fields including semiconductors, AI, digital tech, environmental protection, green energy, and more. This would not only make both our economies more resilient and secure, but also ensure the stable operation of global supply chains. We share a common mission – to provide investment-friendly environments for our enterprises. We also share a common goal – to advance democracy, peace, and prosperity around the world. I want to take this opportunity to express my appreciation to the EU and European nations for taking concrete action to safeguard freedom of navigation in the Taiwan Strait. I also want to thank the European External Action Service for the statements it issued when China launched military exercises this past May and October. These statements reaffirmed the Service’s unwavering stance on supporting peace and stability in the Taiwan Strait. While the EU is actively engaged in Indo-Pacific affairs, Taiwan is doing its utmost to protect democratic values. We will continue to contribute humanitarian aid to Ukraine, and work hand in hand with European nations for mutual prosperity and growth. To close, I want to thank the EETO once again for the invitation. Let’s continue to build on the ties between Taiwan and Europe, and make every moment the best moment for Taiwan-EU relations. I wish you all a very successful forum. Thank you. Also in attendance at the event were EETO Head Lutz Güllner, European Commission Deputy Director-General for Trade Maria Martin-Prat, and members of the foreign diplomatic corps in Taiwan.

On the evening of November 12, ahead of his departure for Peru to attend the 2024 APEC Economic Leaders’ Meeting (AELM) from November 15 to 16 in Lima, APEC Leader’s Representative Lin Hsin-i (林信義) delivered remarks on his upcoming trip. Leader’s Representative Lin said that he hopes to convey to leaders’ representatives and delegations of other APEC economies that Taiwan is an important, stable, and indispensable force for the economic prosperity of the region. He also expressed confidence in his and his fellow delegation members’ ability to fulfill their mission. In remarks, Leader’s Representative Lin first thanked everyone for making the trip to see him and his delegation off, and he thanked the members of the media for their concern and support. He said it is a great honor to represent the president in attending the AELM in Lima, adding that government agencies have practically been working around the clock in preparation for the trip. Over the past year, he said, senior officials, ministers, and people in business and industry have been working in a spirit of solidarity, attending meeting after meeting, accumulating an impressive body of achievements. Therefore, he underlined, he and his fellow delegation members are quite confident in their ability to fulfill their mission. Leader’s Representative Lin mentioned that an especially large number of topics will be addressed in this year’s AELM proceedings, including inclusive digital transformation; twin green and digital transition; reduction of food loss and waste; improvement of human resource organizations and human capital; competitiveness of micro-, small- and medium-sized enterprises in the digital age; and increased participation of women’s groups and disadvantaged groups in economic development. As Taiwan is especially strong in the fields of digital medicine, agriculture, and small- and medium-sized enterprises, he said, the delegation will take the opportunity in AELM meetings to actively familiarize the leaders’ representatives and delegations of other APEC economies with Taiwan’s efforts, achievements, and contributions, so that everyone can understand Taiwan as an important, stable, and indispensable force for the economic prosperity of the region. Leader’s Representative Lin once again thanked everyone for coming to show support for the delegation, which was greatly meaningful to them. He then wished everyone good health and happiness.

On the morning of November 7, President Lai Ching-te attended a press conference before Taiwan’s delegation departs for the 2024 APEC Economic Leaders’ Meeting (AELM). In remarks, President Lai thanked Senior Advisor to the President Lin Hsin-i (林信義) for acting as our leader’s representative to this year’s meeting. President Lai remarked that the theme for APEC 2024 is Empower, Include, Grow. He expressed hope that Senior Advisor Lin and the members of the delegation will convey three major propositions during the meeting: that Taiwan is actively contributing to the international community, supports a fairer and more inclusive international trade order, and is willing to promote the development of digital trade among other economies. The president emphasized that Taiwan has the capabilities and is more than willing to promote digital trade among other economies and begin the relevant cooperation. He expressed confidence that given Senior Advisor Lin’s professional expertise and experience, he will accurately convey Taiwan’s voice and perspectives to the other APEC member economies. A translation of President Lai’s remarks follows: This year’s AELM will kick off on November 15 in Lima, Peru. I want to offer special thanks to Senior Advisor Lin for accepting my invitation to serve as our country’s APEC leader’s representative, and represent me at this year’s meeting. Senior Advisor Lin has worked in both the public and private sectors, possesses extensive industry experience, and has successively served in important positions including minister of economic affairs, vice premier, and minister of the Council for Economic Planning and Development (now National Development Council) of the Executive Yuan. He not only combines practical experience with a high degree of professionalism, but also continues to serve as one of my senior advisors, an advisor on the Executive Yuan’s Economic Development Commission, and chairman of Taiwania Capital Management Corporation, contributing his outstanding expertise to the nation. In 2000 and 2001, Senior Advisor Lin represented the nation at the APEC Annual Ministerial Meeting (AMM). In 2005, he also served as leader’s representative and led a delegation to the AELM hosted by Korea, and successfully accomplished his mission. I am confident that given Senior Advisor Lin’s professional expertise and extensive experience, as well as his past participation in APEC-related meetings, he will accurately convey Taiwan’s voice and perspectives to the other APEC member economies. APEC is the most important forum in the Asia-Pacific region for multilateral economic and trade cooperation. Its purpose is to spur regional economic integration, growth, and development through dialogue and negotiation. The theme for APEC 2024 is Empower, Include, Grow. On that point, I have asked Senior Advisor Lin and the members of the delegation to convey Taiwan’s three major propositions during the meeting: First, Taiwan is actively contributing to the international community. I have asked Senior Advisor Lin and our AMM and APEC Business Advisory Council (ABAC) representatives to broadly raise awareness of Taiwan’s positive contributions to APEC, and in particular, give the various member economies a clear understanding of Taiwan’s developmental achievements and contributions over the years in fields including AI and digital medicine. Taiwan will continue to make such contributions. Second, Taiwan supports a fairer and more inclusive international trade order. APEC has long been concerned about the development of global free trade, including its impact on the rights of disadvantaged groups, and the hardships sustained by various countries due to unfair trade practices. For many years, APEC has continuously worked to promote fair and inclusive trade, and I have asked the delegation to convey Taiwan’s support and commitment to all the member economies. Taiwan is willing to cooperate with our APEC partners to create a fairer, more inclusive international trade order. Third, Taiwan is willing to promote the development of digital trade among other economies. Among the current member economies, digital trade has already become an important component of overall trade, and we are confident that Taiwan’s digital capabilities can spur global economic development. I hope that our delegation will take advantage of this opportunity to communicate with representatives from other member economies and show them that Taiwan has the capabilities and is more than willing to promote digital trade among other economies and begin the relevant cooperation. In closing, I would like to thank Senior Advisor Lin and all of the members of the delegation once again. I am confident that under Senior Advisor Lin’s leadership, the delegation will successfully complete its mission, and I wish you all a smooth journey. Thank you. Senior Advisor Lin then delivered remarks, first stating that he is very honored to be entrusted by the president with representing him at this year’s AELM to be held in Peru. Regarding the tasks and instructions laid out by President Lai, Senior Advisor Lin said that he and the entire delegation will spare no effort, and will not let down the people of Taiwan. Senior Advisor Lin indicated that with the current international economic landscape changing rapidly, alongside geopolitical changes, Taiwan is presented with an abundance of opportunities on the international economic stage, yet many challenges as well. He said that after accepting this important mission, he heard briefings from across government agencies in the limited time that was available and thoroughly read information concerning the meeting, and that the staff diligently made the best possible preparations. All administrative agencies worked together seamlessly under the coordination of the National Security Council (NSC), he said, which fills him with confidence. Senior Advisor Lin remarked that Taiwan has followed APEC’s themes for many years, promoting many initiatives which have garnered significant results and widespread acclaim. Particularly in recent years, he said, Taiwan has been promoting successful digital health initiatives which have made other economies aware of our proud efforts in the fields of public health and digitalization, as well as our substantial contributions to APEC. Senior Advisor Lin said that the delegation, in keeping with this year’s theme of Empower, Include, Grow, will share with the participating economies Taiwan’s own experiences in the economic empowerment of small- and medium-sized enterprises in addition to women, indigenous peoples, and economically disadvantaged groups. He said that they will also relate our efforts in agricultural technology for reducing food loss and waste as well as our actions toward net-zero transition. Such sharing, he said, will help the economies understand public-private partnership in Taiwan. It will also show how Taiwan can use its strengths in digital technology to contribute to APEC, he added, while also advancing economic growth in the Asia-Pacific region that is fairer, more inclusive, and more sustainable, contributing positive energy to the region. In closing, Senior Advisor Lin emphasized that he will use this opportunity to conduct exchanges with other leader’s representatives and convey Taiwan’s willingness to uphold the spirit of mutual assistance, mutual benefits, and reciprocity with the international community as well as to contribute to the peaceful and stable development of the Asia-Pacific region. This, he noted, will demonstrate that Taiwan is a good, reliable, and responsible member of the international community and garner more support from our friends around the world. He said that the delegation will commit all their efforts to completing the mission charged to them by President Lai. This year’s delegation also includes daughter of the leader’s representative Lin Wen-hsien (林玟萱), Minister without Portfolio of the Executive Yuan and National Development Council Minister Liu Chin-ching (劉鏡清), Minister without Portfolio of the Executive Yuan Yang Jen-ni (楊珍妮), NSC Deputy Secretary-General Hsu Szu-chien (徐斯儉), Ministry of Foreign Affairs Department of International Organizations Director General Jonathan C.Y. Sun (孫儉元), Acer Chairman Jason Chen (陳俊聖), Taiwan Mobile President Jamie Lin (林之晨), and Quanta Computer Chief Technology Officer Ted Chang (張嘉淵), the latter three serving as ABAC representatives. This year’s AELM will be held from November 15 to 16 in Lima, Peru. In addition to attending the AELM, Senior Advisor Lin, as our leader’s representative, alongside ABAC representatives Chairman Chen, President Lin, and CTO Chang, will engage in discussion with APEC member economy representatives and exchange views extensively on issues including regional economic development. On November 14, the host will convene the AMM, to which Minister Liu and Minister Yang will lead delegations to attend.

On the morning of July 12, President Lai Ching-te met with a delegation from Micron Technology. In remarks, President Lai thanked Micron for its long-term investment in Taiwan, and for continuously advancing dynamic random-access memory (DRAM) technology in Taiwan. The president noted that the development and mass production of advanced DRAM technology has accelerated, spurring supply chain localization. He said that here in Taiwan, beyond offering high-efficiency production, our government also attaches importance to businesses’ needs, and will work to create a friendly living environment for international talent. President Lai expressed hope that Micron will continue to expand its research and development capacity here, working with local supply chain partners to seize AI business opportunities. A translation of President Lai’s remarks follows: First, I would like to welcome you all for this visit, which demonstrates trust and support for Taiwan. As we look toward our future, we know that semiconductors will be indispensable, and the AI wave has already swept in. Amidst this wave, Micron, as a major international firm, certainly plays an indispensable role. I would like to thank Micron for its long-term investment in Taiwan, and for continuously advancing DRAM technology in Taiwan. Last year, we witnessed the opening of a new Micron facility in Taichung. This accelerated the development and mass production of advanced DRAM technology, spurring supply chain localization. With the help of Micron working with us side by side, Taiwan’s semiconductor industry has secured a pivotal global role. Moving forward, our government will continue developing the semiconductor industry and accelerate Taiwan’s transformation into an AI island. Major chip designers such as AMD, Nvidia, and Infineon have now all announced plans to set up research and development centers in Taiwan. We also welcome further cooperation with Micron. High-bandwidth memory (HBM), for example, is crucial for AI applications, and is already being manufactured by Micron in Taiwan. I am confident that with Micron continuing to expand production in Taiwan, as well as collaborating on research and development with Taiwanese chip designers and chipmakers, we can maintain our leading position in AI development for our mutual benefit. Here in Taiwan, beyond offering high-efficiency production, our government also attaches importance to businesses’ needs. For example, we meticulously review power supply and demand on a rolling basis to ensure stable accessibility. We will also take action to relax regulations and promote programs targeting international business talent to continue expanding global recruitment. We will work to create a friendly living environment for international talent, and meet business demand. In closing, I would once again like to welcome you to Taiwan. We hope that Micron will continue to expand its research and development capacity here, working with local supply chain partners to seize AI business opportunities. I wish everyone a successful and productive visit.

On the morning of November 26, President Lai Ching-te convened a high-level national security meeting regarding action plans to safeguard democratic Taiwan. Following the meeting, the president held a press conference to address intensifying threats from China against Taiwan and the Indo-Pacific region, introducing two major action plans: to uphold national sovereignty with a comprehensive democratic defense, and to bolster defense capabilities while developing a robust, full-spectrum defense industry. President Lai stated that the national security team and executive agencies will take action to demonstrate to the world Taiwan’s firm resolve and will to safeguard the nation and maintain the status quo. He said that the government aims to build defense capabilities, economic strength, and democratic defense mechanisms sufficient for Taiwan to protect itself, comprehensively responding to urgent national security threats and sparing no effort to safeguard democratic Taiwan. The president emphasized that democracy is not a provocation, and Taiwan’s existence is no excuse for aggressors to disrupt the status quo. Safeguarding democratic Taiwan, he said, is the shared responsibility of the government, ruling and opposition parties, and all the people of Taiwan. He expressed hope that all citizens will unite to safeguard the nation and the freedom of Taiwan’s people. A translation of President Lai’s remarks follows: Earlier today, I convened a high-level national security meeting to hear a briefing from our team regarding the current national security situation. The Beijing authorities have recently been comprehensively advancing attempts to turn democratic Taiwan into “Taiwan, China.” This has already posed a severe threat to our national security and Taiwan’s freedom and democracy. After thorough discussion, we have formulated a concrete strategic response: two national security action plans to safeguard democratic Taiwan, which I will now present. As the international community has noted, China’s threats against Taiwan and the Indo-Pacific region are intensifying. Recently, hybrid threats, including various types of military provocations, maritime gray-zone tactics, and disinformation and cognitive operations, have occurred continuously in and around Japan, the Philippines, and the Taiwan Strait, causing deep unease and disturbance for all parties in the region, including Taiwan. Furthermore, the Beijing authorities have set the goal of completing military preparations to attempt unification with Taiwan by force by 2027, and are accelerating preparations for an attempted invasion. They continue to ramp up military exercises and gray-zone aggression around Taiwan with the ambition to annex Taiwan by militarily forcing unification or surrender. Aside from its use of military force, China is also escalating legal, psychological, and public opinion warfare in its effort to erase Taiwan’s sovereignty from the world stage. By opposing independence, urging for unification, and engaging in transnational repression, it is attempting to encroach upon the jurisdiction of the Republic of China government and create a false impression of their substantive “governance” over Taiwan. China is expanding its united front infiltration and division tactics within Taiwan, with the aim of obscuring the national identity of our citizens and weakening our unity, all to forcibly impose their goals of “one country, two systems” and “governance by ‘patriots’” in Taiwan. The purpose of these actions is to take a free and prosperous Taiwan, a Taiwan that shines on the world stage, a democratic Taiwan, and lock it in an authoritarian cage under the label “Taiwan, China.” This would allow them to achieve their ambition of annexing Taiwan and dominating the Indo-Pacific region. To address this situation, which is more severe than ever, our national security team has formulated two major action plans to fully address urgent national security threats and safeguard democratic Taiwan. The first of these is to uphold national sovereignty with a comprehensive democratic defense. I want to reiterate that democratic Taiwan is a sovereign, independent nation; that among people here and in the international community, some call this land the Republic of China, some call it Taiwan, and some, the Republic of China Taiwan; that the Republic of China and the People’s Republic of China are not subordinate to each other; that Taiwan resists annexation or encroachment upon its sovereignty; and that the future of the Republic of China Taiwan must be decided by the 23 million people of Taiwan. This is the status quo that we must uphold. Therefore, we firmly oppose China’s distortion of United Nations General Assembly Resolution 2758 and its manipulation of historical World War II documents to falsify historical facts and falsely claim that Taiwan is part of the People’s Republic of China. We remain highly vigilant to the reality that while accelerating preparations to attempt unification with Taiwan by military force, China is also intensifying its push – internationally, across the strait, and in various fields – for an ostensibly “peaceful” unification that is in reality a forced unification, with the goal of bringing Taiwan under the jurisdiction of China. When it comes to national security, there is no room for compromise. National sovereignty and the core values of freedom and democracy are the foundation of Taiwan’s establishment. This struggle is not about ideology, and even less is it about unification versus independence. Rather, it is about defending democratic Taiwan and refusing to submit and become “Taiwan, China.” This is the shared position of the Taiwanese people. To uphold our sovereignty and build a strong democratic defense, we will take the following concrete actions: First, our national security team will work with the relevant agencies to establish a permanent task force to formulate action plans centered around democratic Taiwan versus “Taiwan, China.” Through strategic international and domestic communication, historical narrative, and counter-lawfare, these plans will help link Taiwan society and friends and allies to show the world that democratic Taiwan has the determination and will to defend itself and resolutely maintain the status quo. They will also comprehensively counter Beijing’s hegemonic actions that attempt to eliminate the sovereignty of the Republic of China and take away the freedom of Taiwan’s people, all of which disrupt the status quo. Second, facts and truth are the foundation upon which democratic countries build social trust and strengthen national identity. The Executive Yuan will assess China’s intervention, interference, and possible impact during major acts of governance and elections. By revealing the facts and ensuring the circulation of correct information, we will enhance the understanding and awareness of all sectors of society regarding Beijing’s interference in our internal affairs and its promotion of forced unification, strengthen our national identity, and achieve internal unity in facing external forces. Third, the 17 major strategies to counter China’s united front infiltration and national security threats that were released and implemented in March this year have already yielded initial results. The government will continue to implement those strategies and accelerate the promotion of legislation for 10 national security laws and related administrative measures to strengthen our protection of national security. Fourth, the Executive Yuan, along with the National Security Council (NSC), will take concrete measures and effective countermeasures against China’s transnational repression of Taiwan’s people, including: establishing a reporting, liaison, and protection system for victims; strengthening strategic communication with friendly and allied countries and international organizations to enhance transnational cooperation to protect potential victims; and improving the legal system and severely punishing local collaborators who assist China in carrying out transnational suppression, harming our nation and its citizens. Fifth, opinion polls show that the people of Taiwan have always overwhelmingly opposed China’s “one country, two systems” model for Taiwan. Through government policy declarations, Legislative Yuan resolutions, and collective action by political parties and civil society groups, it should be established that for Taiwan society, the “one country, two systems” model crosses a red line. On that basis, institutional norms should be established for exchanges and political dialogue between domestic political parties, legal entities, or civil society organizations and China, while using the principles of democratic governance and transparency to prevent China from exploiting Taiwan’s internal conflicts to promote forced unification. Next is an explanation of the second action plan: bolstering defense capabilities while developing a robust, full-spectrum defense industry. Peace is won through strength, and investing in national defense is investing in security, and investing in peace. Faced with China’s ever-increasing military threats and hegemonic ambitions toward the region and Taiwan, democratic countries in the Indo-Pacific region such as Japan, Korea, the Philippines, and even Australia are gradually forming a consensus on island chain defense and responsibility sharing, making more national defense investments, and strengthening their response to China’s threats. As the most important and critical link in the first island chain of defense, Taiwan must not become a gap in regional security. Taiwan must show determination, and take on greater responsibility for self-defense by enhancing national defense more quickly, dealing with threats through indigenous defense and joint deterrence. Three major strategies – denial, resilience, and the adoption of smart technologies – will be used to achieve the following three phased goals: The first goal is to achieve a high level of combat readiness for our armed forces’ joint combat units by 2027 to effectively deter threats from China. The second goal is to further build highly resilient and comprehensive deterrent defense capabilities by 2033. Our ultimate goal is to build national defense capabilities that can defend democratic Taiwan indefinitely. For this, we will take the following concrete actions: First, in response to development trends in global defense, Taiwan will systematically increase defense spending. Defense spending, as it is defined by NATO, will exceed 3 percent of GDP next year, and will reach 5 percent of GDP by 2030, demonstrating our determination to defend the nation. Second, to build key combat capabilities for future warfare scenarios, the Ministry of National Defense (MND) has completed the planning and budgeting for a special act on procurement for enhancing defense, resilience, and asymmetric capabilities. Over the next eight years (2026-2033), we plan to invest NT$1.25 trillion to develop an advanced defense system including three major features: the T-Dome, a multi-layered air defense system with high-level detection and effective interception; the introduction of advanced technologies and AI to form a resilient defense system that enables efficient decision-making and precision strikes; and enhanced indigenous defense capabilities, expanding the defense industry for economic and security benefits. Third, the Executive Yuan will complete their review of the draft act and submit it to the Legislative Yuan. It will also instruct the Ministry of Finance and the Directorate-General of Budget, Accounting and Statistics to properly manage funding sources and finances to avoid crowding out other budget items. Fourth, in view of the successful integration and rapid iteration of new technologies, the MND will comprehensively optimize and strengthen equipment procurement mechanisms, accelerate acquisition and military development timelines, and ensure anti-corruption measures are in place to prevent delays. Fifth, while introducing advanced equipment and continuously developing asymmetric capabilities and defense resilience, the MND will to its utmost to implement comprehensive and timely reforms to optimize military force structure and develop new training methods, tactics, and logistical support. Increasing defense spending not only enhances military capabilities and national security, but also strengthens defense industry development and boosts national income. In addition to foreign procurement, this special budget will allocate a significant portion to domestic construction projects, commercial purchasing, and commissioned production, creating substantial economic output and employment opportunities. With Taiwan’s strong capabilities in high tech and manufacturing, including an integrated ecosystem of semiconductors, ICT, and AI, as well as precision machinery and related foundational industries, the country can play a significant role in the global advanced defense and military industry. This can also drive the transformation and upgrading of domestic industries and the economy, enabling more engineers and technology professionals to help strengthen national defense, fulfilling our goal of building a strong nation with prosperous citizens. Sixth, the government will promptly formulate an action plan for defense and military industry development. On this basis, we will develop a comprehensive strategy to further advance Taiwan’s industry and economy. Seventh, to support cooperation with friends and allies and build non-red supply chains, we will strengthen measures on the protection of high tech to fully safeguard and utilize advanced technologies. Eighth, the NSC, together with the MND and relevant agencies, will strengthen public communication, build consensus, and secure the support and recognition of our people, guided by the principle of investing in defense, peace, and Taiwan’s economic future. My fellow citizens, China has many scenarios for annexing Taiwan, but the greatest threat of all is not their military force, but our giving in. Under China’s united front offensive, some individuals regard upholding democracy and enjoying freedom as a provocation to China, mistakenly believing that if the people of Taiwan are willing to give up some freedoms or sacrifice some sovereignty, and humbly accept the transformation of democratic Taiwan into “Taiwan, China,” it could somehow secure “peace.” History, however, has shown that compromising with aggressors only leads to endless war and oppression. In 1938, many in Europe believed that if Czechoslovakia ceded some territory to the fascists, it could secure a generation of peace. Instead, it triggered the full outbreak of World War II, bringing untold suffering and tragedy. In 1951, the people of Tibet thought that by signing the Seventeen Point Agreement with Beijing, they could preserve their culture and way of life. Instead, their snowy nation became a red plateau under communist control. Democracy is not a provocation, and Taiwan’s existence is no excuse for aggressors to disrupt the status quo. As a democratic country, our ruling and opposition parties may hold differing views, but we sincerely hope that in safeguarding democracy and freedom of the Republic of China Taiwan and ensuring national sovereignty, we can oppose any actions that disrupt the status quo of peace and stability in the region. Protecting democratic Taiwan and preventing Taiwan from being forcibly annexed or reduced to “Taiwan, China” must be the shared responsibility of the government, ruling and opposition parties, and all the people of Taiwan. We must all unite to safeguard our nation and the freedom of Taiwan’s people. Our national security team and administrative agencies will now take action to build defense capabilities, economic strength, and democratic defense mechanisms sufficient for Taiwan to protect itself – laying an unshakable foundation to secure Taiwan’s safety and national sovereignty. For Taiwan, for the Republic of China, let us all take action together! Thank you. May Taiwan be blessed! Let’s keep going, Taiwan!