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2019-03-21
President Tsai is interviewed by UK-based Monocle magazine

During an interview with UK-based Monocle magazine, President Tsai Ing-wen responded to questions regarding her background, political career, reforms, national defense, Taiwan-US relations, cross-strait relations, and the 2020 presidential election.

The text of the interview follows:

Q: Can you tell me something surprising about yourself? It doesn’t have to be your deepest secret, but is there something that people don’t really know about you?

A: People usually think that a woman politician probably is not as tough as a male one. And the fact that I was a professor for a long time—people tend to think that professors are not political enough. So this sense that people thought I was not politically tough enough is something that some people had a question mark with. But by now they should know that I’m politically okay, and I’m tough enough, even if my language might be soft.
 
Q: One of the things I’m fascinated about, looking into your upbringing, you’re the youngest of eleven children—

A: Yes.

Q: What I want to know from you is what was it like growing up being the youngest of eleven? Such a huge family.

A: On the one hand, the good side of it is that I have so many brothers and sisters, and my parents had all these dreams about the achievements of their children. So they always want to see the elders, the older children, perform better. So I do have sisters and brothers who performed very well at school. So that fulfilled my parents’ dream. So, in a way, I didn’t have much pressure as to how I’m going to perform in school. So, relatively, I did have an easy childhood in a sense that I didn’t have much pressure from my parents.

On the other hand, though, having so many brothers and sisters, I had to learn how to deal with them! And they, of course, have to deal with me, as well. But overall, it’s the parents. If the parents are fair enough, and know how to take care of the children, I don’t think there’s much complication there.
 
Q: You have, like I said, a very compact family now. Do you think growing up amongst that huge family has had an impact on your decisions—your personal decisions?

A: No. The thing is, as a politician, I deal with people every day. I deal with people in the office, I deal with people outside, and especially when a big gathering of people. In other words, I talk to people all the time, I deal with people all the time—I mean, with them, and try to understand what they are thinking. So my childhood helped, because I have so many brothers and sisters that I tried to observe, and understand them. And I was a negotiator for some time, and I learned how to … I trained myself how to observe, how to react to people’s comments. And this is a, sort of a new challenge for me, to mingle with the public, and to observe them, how they react, and what they want to express. So after a whole day of dealing with people, the last thing I want to do when I go home is to deal with people again! So normally I want to be by myself and have a good reflection on what happened during the day, and what needs to be done the next day.
 
Q: I know your father was a businessman. But would you say you grew up in a political household, or did your political awakening come later in life?

A: Oh, the political awakening came much later. My family … my father didn’t like his children getting too much involved in politics, and that is very typical of the last generation of parents because of this authoritarian rule; they didn’t want their children to get too much involved in politics. My father was a typical one, and he thought that his children should become professionals, like lawyers, doctors, architects, that sort of thing, and he didn’t make a plan for his children to become politicians at all.
 
Q: Just by being a woman in this role, you’ve very much changed the presidency of Taiwan, certainly from the optics. But in the last three years, during your first term, what is like the biggest change you’ve brought about to the Office of the President?

A: It’s very much in the policy area, because there are so many reforms that need to be carried out because we’re running short of time—especially the pension funds. Some of them may go bankrupt soon. So if we don’t do things, the whole system—the pension system—may collapse, and would become a financial disaster for the country. And also we have to assure pensioners that they will be able to receive pension payments without any sort of interruptions.

So it’s something we ought to do, and we have to do. This pension reform is unprecedented, and no political leader would dare to touch it, because as with pension reforms in other places, if you want to make it financially sound, you have to cut payments. And our previous payment terms were actually rather generous, in fact, too generous, and that caused a lot of discontent here, because people feel that it is not fair for laborers and government employees … the government employees’ pension fund was much more generous than what laborers can get after they retire. So there’s a sense of injustice going on. So we need to address that sense-of-justice issue, and also try to deal with the financial side of pension funds, to make it sustainable.

So we thought we did quite all right in terms of the financial side. After reform, the pension funds can sustain for at least two or three decades, and the payment cuts—despite people complaining about it—they’re not the sort of cuts that would make people unable to live, or substantially reduce their standards of living. But again, I cut payments and affected a lot of people’s income as pensioners, and that is a source of discontent. And we paid a heavy political price for that.
 
Q: Do you think when you look at the midterms in November, was the pension issue the main reason why the DPP lost so heavily?

A: That is one of the issues. The other one is the same-sex marriage issue, because many of the religious bodies do have strong objections to that. But the younger generation here, the young people, thought that this is a matter of human rights and we should be moving towards a direction that makes us a more advanced country in terms of human rights in this respect. It’s a rather divisive issue here. You have younger generations who want to deal with this as a matter of human rights, and you have other, more traditional groups and religious groups that think that this is too advanced for Taiwan and we are not there yet. So it is a struggle between the two sides.

But this is not something that we can avoid, because it is coming, it is here already. It’s an issue that we have to deal with. And so during the last two to three years, the Grand Justices have made a constitutional interpretation requiring a change of law to move the whole system closer to what should be considered as equal rights protection. And of course, you have this referendum, trying to move the direction a bit backwards.

So, the bad thing is that we have this controversy and conflict over the last two-and-a-half years, but at the end, we still narrowed it down. On the one hand, the Grand Justices said, yes, it is a matter of human rights protection. And the referendum tells us that we should be mindful of the people who are very religious or traditionally inclined. The difference is like this.

But with this referendum and constitutional interpretation, we sort of narrowed it down. The issues are narrowed down to two things. One, I think people generally agree that we should provide protections to homosexuals. The second issue is in what form the legal protection should be provided. It is a good process in my view, despite the fact that we paid a political price for it. But we did get a highly controversial and divisive issue narrowed down to two issues only. People generally agree that their rights have to be protected. But the thing for the government is in what way and in what form the legal protection should be provided.
 
Q: Since you were elected, the global political landscape has changed somewhat by President Trump in the US. So what I wanted to know from you is, in this post-Trump era, looking ahead to 2020, do you feel like you need to be a bit more Trump? Or are you going to stick to your guns and stay true to who you are?

A: It depends on how you define political guts. By now, I think people think that despite the fact that I use softer language when I express issues, despite the fact that I’m a woman, I am a very determined person, and I am prepared to do things despite the political cost that is involved. And this is how a leader should be. It is not a matter of speaking tough, it is a matter of whether you are determined enough to complete reforms. In the process, you get attacked, you get pressured, and you have a lot of conflicts to deal with, but eventually it is the result that you want to present to the people.
 
Q: As we kind of gear up for the electioneering period in 2020, what would you say your top priorities are when it comes to foreign relations, cross-strait relations, and defense?

A: Well, I think that we have told the international community and countries in the region that we would be keeping the status quo, but given the changes in the environment, when we are talking about the status quo, we are talking about keeping the right kind of balance, so we’ll continue to keep the right kind of balance. We’re not going to be provocative in our relationship with China, but we have to equip ourselves with sufficient defense capabilities, given China’s large investments in its military development. We need to increase our military capabilities, to make Taiwan a more defendable place. That is our priority.
 
Q: I know you’re shifting the military towards full-volunteer service, that’s the goal, how is that going? When do you think that will be completed?

A: This policy has been initiated and carried out by the two former Presidents. My job at the moment is to make this all-volunteer system work, and also make our military defense capabilities improve as a result of this all-volunteer system. But the modern military situation is that we need soldiers with experience and know-how to deal with high-tech weaponry. A lot of professional training is required. If we go back to this old system of mandatory military service under which young men join the military for a year, it’s not enough to us.

Today, with this all-volunteer system, a volunteer would join the military for at least four years, so that gives us enough time to train them. And after they retire from their four-year stint―they can extend their service to a longer time as long as they’re qualified―so receiving these four years of training makes them very experienced soldiers. And we continue to keep them in, sort of reserve services. So you have a core group of all-volunteer professional soldiers, and you also have reserve groups, and they are primarily retirees from the volunteer services.
 
Q: Looking ahead to the election next year, some of your biggest critics would say that you only win if you play the China card. If Beijing does something silly, and you seize on it, rile people up, then the DPP will win. How do you respond to that?

A: The thing that people care about, of course, is national security, and whether we will be able to maintain a stable relationship with China. I think people want to have that. It’s not a matter of speaking loud in a tough manner. Of course, sometimes I have to be loud and tough, but it is not the only thing a leader should do. What we need to do is make sure that our national security is okay, and at the same time we will be able to maintain a stable relationship with China.

But the other thing that the general public here care a lot about is the economy. Despite the fact that people may not have noticed, the economy began picking up actually after 2016. In 2016, when I first became the President, many people thought that I wouldn’t be able to achieve 1 percent GDP growth, because the previous year it was 1 percent or even lower. We achieved that. By 2016, the growth rate was 1.51, and in 2017, we did even better, 3.08 percent growth rate. That is a major achievement. And last year, we did not bad, in 2018 it was 2.63 percent, which is not bad, because that shows the economy is picking up and presents a stable trend upwards. In terms of income, in nominal or substantive terms, it is all in an increasing trend. Exports are doing well, despite the fact that this year we may have some challenges due to the US-China trade conflict, but overall the economy is going up steadily. It’s just that people were worried whether we would be able to make sure there would be enough electricity supply, but our own calculation is that there won’t be a problem there.
 
Q: President Xi made a big speech in January, a sort of saber-rattling speech, and some people say that in that speech he set a timeline in Beijing for reunification, and that kind of changes the status quo. Do you agree with that? Is that how you see it?

A: I would say that his January 2 speech does, to a certain extent, change the balance in the relationship, and requires a certain amount of rebalancing.
 
Q: What does that rebalancing involve?

A: That means that we have to be more cautious in terms of managing the relationship. And because the remarks of January 2 have presented a sense of urgency on the Chinese side, what we need to do is to expedite whatever preparations we need to prepare ourselves.
 
Q: If we look at some other countries that have a dispute, the two Koreas. This time last year, they were perhaps on the brink of nuclear war, and now they’re looking like the best of friends. At the moment, your relations with China aren’t looking too rosy, but let’s look ahead at next year, could you see a similar change in relations, that quickly?

A: The change of relationship requires a lot of things. First of all, the Chinese have to be prepared to treat Taiwan as equals, and no precondition or political framework is there as prerequisite for any peace process. On our side, I think without preconditions, or this framework of the “one China principle” or “one country, two systems,” and if the process is conducted in a way that we are treated as equals and they have enough respect for the sovereignty we have, then there is no reason why we can’t sit down with them and talk.
 
Q: Referendums are in vogue right now, in your own country and in the UK, where I’m from. But obviously the results don’t always go your way. Will you categorically rule out a referendum on Taiwanese independence during your second term, if you were to be reelected?

A: Taiwan is a democracy. It’s not the leader who makes these decisions. A leader’s responsibility is to make sure our democracy works, and also that democracy can facilitate the people here to make a collective decision as to what we want for the next phase of our relationship with others. But for the President, the most important thing is to make sure that we’ve got our freedom protected, our democracy protected, and a stable relationship with China.
 
Q: Some people have been saying one of the reasons why the DPP lost so heavily in November was because during your three years, you’ve been focusing too much on Taiwanese independence, Taiwanese identity, and perhaps renaming the country Taiwan. What do you say to that?

A: No. In fact, in the last election, it was a local election, the cross-strait relationship was not a major issue in that. In the first two-and-a-half years of my term, we have been very carefully managing the cross-strait relationship, we have not been provocative at all. And we managed to maintain a stable relationship with China. We have been under tremendous pressure from China as well, because they are more assertive in terms of their military exercises, and also they make attempts to take away our diplomatic allies. So we have to deal with all these pressures. But for us, we are not provocative, we deal with the relationship, we manage the relationship very carefully. It’s the Chinese trying to change the status quo, and we are reacting to it. But last year’s election was more about domestic issues, and some of them are rather divisive.
 
Q: There are big anniversaries this year, one being the Taiwan Relations Act in April. When that comes about, what will your message be to the US?

A: I hope the relationship, the good relationship, will continue, and cooperation between our two sides will be close enough to meet the challenges of the future in the region.
 
Q: Last year looked like a pretty good year for US-Taiwan relations, they opened that new quasi Embassy, and there was the Taiwan Travel Act, and there were a few high-level delegations. When you look at 2019, what is on top of your new year’s wish list for things or gifts from the US?

A: It’s not like Christmas. The relationship is not a matter of Christmas time, receiving gifts. It is a solid relationship, and we want to keep a close working and cooperative relationship with the US. I do hope that our relationship can improve every day in substantive terms.
 
Monocle magazine, launched in 2007 and based in London, provides content focused on economic and political current events, as well as global affairs. The magazine has also published a series of Monocle Guides on a wide range of topics, and operates a round-the-clock online radio station, called Monocle24, that gives commentary on developments in global affairs, politics, economics, and culture.

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Details
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Vice President Hsiao delivers remarks after returning from IPAC annual summit in Europe  
In response to an invitation from the Inter-Parliamentary Alliance on China (IPAC), Vice President Bi-khim Hsiao, acting upon the designation of President Lai Ching-te, traveled to Europe and attended IPAC’s annual summit in Brussels, where she delivered a speech. Accompanied by Minister of Foreign Affairs Lin Chia-lung (林佳龍), the vice president concluded her journey and returned to Taiwan on the morning of November 9. Upon arrival at Taoyuan International Airport, the vice president delivered remarks, stating that during the trip she delivered a speech titled “Taiwan: A Trusted Partner in a Volatile World,” which aimed to foster greater understanding and support for Taiwan in the international community and called on all countries to deepen economic, trade, and technological cooperation with Taiwan, support Taiwan’s international participation, and work together to safeguard peace in the Taiwan Strait and stability in the region. In her remarks, the vice president pointed out that this trip was in response to IPAC’s invitation to attend the organization’s annual summit at the European Parliament in Brussels on November 7, and that Foreign Minister Lin accompanied her on the trip. Representing the nation during the topical session dedicated to Taiwan, the vice president shared Taiwan’s democratic story with a broad range of friends from European countries, members of national parliaments, civil society, and the media, aiming to foster greater understanding and support for Taiwan in the international community.  Vice President Hsiao also pointed out that IPAC is a transnational parliamentary platform comprised of elected members of parliaments from countries around the world and members of the European Parliament who share the values of freedom and democracy with Taiwan. IPAC has long been a staunch partner of Taiwan, she said, supporting Taiwan’s international participation with concrete actions, emphasizing the importance of peace in the Taiwan Strait and stability in the region, and actively speaking out for Taiwan in the international community. The vice president explained that the title of her speech at the summit was “Taiwan: A Trusted Partner in a Volatile World.” The speech, she said, emphasized that Taiwan is not only an important partner in global high-tech manufacturing and democratic supply chains, but also a responsible member of the international community, and that a free and resilient Taiwan has irreplaceable value for global peace, prosperity, and the future of democracy. She also called on partners from around the world to deepen economic, trade and technological cooperation with Taiwan, strengthen social resilience and security dialogues, and support Taiwan’s international participation, as we work together to maintain peace in the Taiwan Strait and stability in the region. Regarding the event itself, Vice President Hsiao thanked the IPAC team for their sincere invitation, everyone whose assistance made the trip proceed smoothly, and members of the European Parliament from various countries, the media, and citizen representatives for their enthusiastic exchanges on the sidelines. She also thanked the team led by Foreign Minister Lin, Taiwan Representative to the EU and Belgium Ambassador Shieh Jhy-wey (謝志偉), Taiwan Representative to the UK Ambassador Vincent Chin-hsiang Yao (姚金祥), and colleagues from various overseas missions, as well as the National Security Council and other national security teams, for all the hard work in planning and arranging this visit, making it a complete success. Sharing her impressions of the trip, the vice president said that Taiwan’s international situation has always been difficult, with much unfairness and setbacks, and that nothing has been easy. But Taiwan has never backed down, she continued, because we believe that the people of Taiwan, like all global citizens, should have the opportunity to participate in the international community. She emphasized that thanks to the efforts and persistence of all our citizens, Taiwan has gradually been able to make our own way in the face of never-ending difficulties and challenges. Revisiting a quote from Mencius (孟子) that she also mentioned in her speech, “Those who take the right way get a lot of help,” the vice president explained that the people of Taiwan are very kind-hearted, freedom-loving, and hard-working, and are very willing to contribute to the world; and since we are on the right path, we will gain more international recognition and help. Vice President Hsiao said she felt honored to be able to share Taiwan’s importance and responsibility with IPAC members, who have long supported Taiwan, in such an important hall of the European Parliament. She also emphasized that it has always been our responsibility to convey the voice of the people of Taiwan to the world, and our mission is to get the world to see that Taiwan is a force for good, and support Taiwan. Taiwan is not alone, she said, because more and more like-minded friends around the world are willing to join us on the journey. She concluded by saying that Taiwan will continue, with confident, pragmatic, and firm steps, to show the world our resolve, goodwill, and the power of democracy.  
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2025-11-03
2025 APEC Economic Leaders’ Meeting delegation press conference
On the afternoon of November 3, the Presidential Office held a press conference for our delegation to the 2025 APEC Economic Leaders’ Meeting (AELM) upon its return to Taiwan. Leader’s Representative Lin Hsin-I (林信義), accompanied by Minister without Portfolio of the Executive Yuan and National Science and Technology Council Minister Wu Cheng-wen (吳誠文), Minister without Portfolio of the Executive Yuan and Office of Trade Negotiations Chief Representative Yang Jen-ni (楊珍妮), National Security Council (NSC) Advisor Hsu Szu-chien (徐斯儉), and Director General Jonathan C.Y. Sun (孫儉元) of the Ministry of Foreign Affairs (MOFA) Department of International Organizations as Senior Official for APEC, explained the overall situation at this year’s APEC meetings and the outcomes of the AELM, and fielded questions from the media. In his remarks, Leader’s Representative Lin said that he was honored to once again represent President Lai Ching-te at the AELM, and although this year’s issues were different, the responsibilities remained significant. He stated that with extensive assistance and cooperation from various ministries and agencies, he did his utmost to complete the tasks assigned by President Lai, and deepen interaction with various member economies through multilateral and bilateral exchanges, further enhancing Taiwan’s visibility and participation in APEC. Leader’s Representative Lin stated that there is much uncertainty in the current global economic order due to factors including geopolitical changes, restructuring of supply chains, transformation of technology, and climate change. Discussions at this year’s APEC focused on the ongoing changes in global economic and trade patterns, he said, paying special attention to issues such as technological innovation, supply chain security, and AI. The host country, Korea, also made AI and demographic changes a focal point, exploring the challenges facing economic development in the Asia-Pacific region including declining birth rates, aging populations, labor shortages, and digital divides. Leader’s Representative Lin said that the first task assigned by President Lai was to convey that Taiwan is committed to strengthening economic resilience and hopes to cooperate with various countries and continue to promote regional economic and trade development. Regarding the great interest and praise expressed by numerous member economies for Taiwan’s development of AI, smart medicine, digital healthcare, and small- and medium-sized enterprise (SME) resilience, Leader’s Representative Lin used the phrase, “If the flowers are in bloom, butterflies will come.” In the past, Taiwan needed to devote comparably more effort to attracting foreign investment and cooperation, he said, but needless to say, many economies now come forward of their own accord as a result of the concerted efforts of all our citizens. The delegation also took the opportunity to share the resilience gene and the ability to respond to environmental changes that have long characterized Taiwan enterprises to the member economies, promoting diversified partnerships and cooperation to spur stable growth in the regional economy. Regarding the second task assigned by President Lai, to convey that Taiwan is willing to share its experience in pioneering industries and promote public-private cooperation to address global challenges, Leader’s Representative Lin pointed out that all APEC member economies are already familiar with Taiwan’s strengths in pioneering technology industries, but are curious about how to cultivate such irreplaceable and exceptional strengths.  Over the past few decades, Taiwan has built a highly developed and comprehensive industrial ecosystem through seamless cooperation involving the government, enterprises, academia, and research institutions, he said, setting a high threshold for Taiwan’s competitive advantages. This is also a successful experience of Taiwan’s that was often shared during the meeting. In addition, he emphasized the importance of AI and the digital transformation of SMEs. With our solid information and communications technology (ICT) industry foundation, Taiwan actively assists SMEs with introducing AI and cloud technology to enhance their cross-border business capabilities and competitiveness, which was closely aligned with the core spirit of the meeting theme of “digital inclusion.” At the same time, Leader’s Representative Lin also called on member economies to strengthen digital cooperation and establish a more open and secure data environment so that technological development can truly benefit everyone, rather than create new digital divides. Leader’s Representative Lin then mentioned the third task assigned by President Lai, which was to convey that Taiwan is now accelerating the promotion of human-centered AI development to help realize APEC’s common vision. For the development of human society and culture, technological development is a double-edged sword, he said, and only a human-centered approach can serve as the goal for the existence and innovation of technology. Therefore, he said, we call for the establishment of an inclusive and responsible AI governance framework to ensure that technological development is aligned with principles of ethics and trust through the sharing of experience and standards. At the same time, in the current digital age it is extremely important to deepen cooperation in cross-border talent and skills to cultivate a new generation of professionals with capabilities in cross-disciplinary application. We must promote the application of AI in various industries, he said, so that SMEs and traditional industries can also share in the benefits of transformation through smart technologies. Leader’s Representative Lin stated that our government will continue to use a public-private partnership approach to seek solutions, and will share its successful experience with other APEC economies in joint pursuit of shared prosperity in the Asia-Pacific region. During the meetings, he pointed out the outstanding contributions of Taiwan’s representatives to the APEC Business Advisory Council (ABAC). One example is Acer Chairman Jason Chen (陳俊聖), who has launched an “AI and the Aging Economy” project that uses an AI facial expression recognition model to detect early-stage dementia with up to 86 percent accuracy. A second example is Quanta Computer Chief Technology Officer Ted Chang’s (張嘉淵) “Daily Plus: Empowering AI to Create Inclusive Smart Healthcare” project, which has also been widely praised, as it empowers medical staff without engineering or technical backgrounds to use AI while promoting open-source AI localization and cross-border training. This project, he added, has been running for three years, and interest is high among all member economies, with more than 150 people from 17 economies participating this year. A third example is Taiwan Mobile President Jamie Lin (林之晨), whose company has assisted some 2,000 SMEs from 21 economies with undergoing cybersecurity checkups. In addition, in the face of disaster risks brought on by climate change, AI has been used to enhance the resolution of weather forecasts from 25 kilometers to just 2 kilometers. When Typhoon Gaemi struck in 2024, AI models clearly delineated the structure of the storm and provided more accurate forecasts that enabled the central and local governments to make advance preparations and minimize losses. This demonstrated the ability of technology to protect lives and the economy. Leader’s Representative Lin stated that Taiwan did more at the proceedings than simply put forward general outlines and topics. Beyond that, our delegation also reported to member economies on specific measures that Taiwan has taken and what results we have achieved, and all took a keen interest in our projects. The fact is, he said, these cases fully demonstrate the innovative capacity of Taiwan’s companies and professional talent. They also show Taiwan’s willingness as an APEC member to share its experience with other economies, and to jointly create AI-driven inclusion and sustainable growth, he said. Leader’s Representative Lin mentioned that the content of this year’s APEC Leaders’ Declaration plays to Taiwan’s strengths, so he was very pleased. In addition to formal remarks made in meetings, he also engaged in constructive exchanges with a number of other leaders and delegation members. Heads of state from many countries praised Taiwan highly for its contributions in such areas as semiconductors, ICT, medical technology, and SME development, and expressed interest in cooperation. Such interactions helped raise Taiwan’s global visibility, and also laid a solid foundation for future enhancement of substantive economic and trade cooperation. Finally, Leader’s Representative Lin described the atmosphere of APEC 2025 by again quoting the phrase, “If the flowers are in bloom, butterflies will come.” He said that he and all the other delegation members felt greatly honored, which he said was the result of hard work by everyone throughout Taiwan. He also stated that many government agencies helped the delegation carry out its mission smoothly. He thanked the NSC for its planning, and praised MOFA, the Taipei Mission in Korea, diplomatic personnel, and the delegation members and behind-the-scenes staff for their hard work. Their dedication ensured that Taiwan was able to present a highly professional, sincere, and cooperative image at the summit. In carrying out policy advocacy, interacting with the business community, and promoting economic activity and trade, he said, everyone completed the delegation’s mission with consummate professionalism and enthusiasm. In the future, Taiwan will continue to cooperate at APEC venues with other economies to bring its strengths into play, promote regional prosperity and development, and continue engaging in dialogue with the world through APEC platforms to ensure that the international community sees Taiwan, he said. Leader’s Representative Lin then responded to questions from the media on Taiwan-Japan cooperation, Taiwan-United States relations, achieving higher visibility for Taiwan at APEC, and interactions with other economies during the proceedings, among other topics.
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2025-10-10
President Lai delivers 2025 National Day Address
President Lai Ching-te on the morning of October 10 attended the ROC’s 114th Double Tenth National Day Celebration in the plaza fronting the Presidential Office Building, and delivered an address titled “A New Taiwan Rises in a Time of Change.” A translation of the president’s address follows: National Day Celebration Chairperson Han Kuo-yu (韓國瑜), Vice President Bi-khim Hsiao, Premier Cho Jung-tai (卓榮泰), Her Excellency the Governor-General of Belize Froyla Tzalam and Mr. Daniel Mendez, His Excellency the Governor-General of St. Lucia Errol Charles and First Lady Anysia Charles, President of the Chamber of Deputies of the Republic of Paraguay Raúl Latorre, Japan-ROC Diet Members’ Consultative Council Chairman Furuya Keiji, heads of delegations from diplomatic allies and friendly nations, members of the foreign diplomatic corps in Taiwan, distinguished guests from home and abroad, and my fellow citizens here in person and watching on TV or online: Good morning. Today is the National Day of the Republic of China, and while we gather every year to celebrate the nation’s birthday, this year is an especially significant one. It is a historic year for Taiwan’s democratization. One month ago, September 10, was the historic date when the number of days Taiwan had spent free from martial law officially surpassed the number of days endured under its stifling rule. This signifies that we have parted entirely from an authoritarian regime and its shadow, and have ushered in a democratic future full of hope. We will not forget the blood and tears of those who united to defend against aggression, nor will we forget the selfless sacrifices of past generations in pursuit of democracy and freedom, granting sovereignty to the people. Those stories, which have become woven into the fabric of our land, are our collective memory. Democratic Taiwan, forged through untold hardships, is what most clearly positions the 23 million people of Taiwan, Penghu, Kinmen, and Matsu in this world. Taiwan is a beacon of democracy in Asia. For every person still living in darkness under authoritarian rule, we forever shine the light of hope. This year also saw Taiwan’s rise. Nations around the world are suffering drastic changes and challenges, and Taiwan is no exception. In addition to the Russia-Ukraine war, turmoil in the Middle East, and China’s continued military expansion, the United States’ tariff policy has delivered a blow to economies and industries alike. But the people of Taiwan are still on their feet. And not only that – this year’s economic performance greatly impressed the global community. According to the Asian Development Bank’s latest report, Taiwan’s economic growth rate this year leapt from 3.3 to 5.1 percent, leading the Four Asian Tigers and surpassing China. Taiwanese exports have continued to reach record highs, and employment is at its best in 25 years. Our stock market has also risen for six consecutive months, hitting an all-time high of 27,301 points. Taiwan’s market capitalization has topped US$3 trillion, making our stock market the world’s eighth largest, and foreign exchange reserves surpassed US$600 billion for the first time, setting a new record. In the midst of adversity, we remain undaunted. In the midst of challenges, we grow ever stronger. These are achievements that the people of Taiwan made together. Let us all celebrate them!  These impressive economic accomplishments also reflect the stellar record of Taiwan’s semiconductor, ICT, electronic component, and other leading industries. Their advantageous position in the global supply chain is the result of long-term key policies for the development of technological and manufacturing capabilities, unique business models, and government-led science parks. This is a monumental industrial achievement forged by decades of combined efforts, and it belongs to all the people of Taiwan. As president, it is my mission to protect these valuable assets and use them to boost Taiwan’s and even worldwide industrial and economic growth, helping to create even better lives for people in Taiwan and around the world. This is also the direction Taiwan is taking. Of course, we will certainly not ignore the formidable challenges in this time of global change, and the risks they pose to different industries, different fields, and groups of different backgrounds. Many of the champions, traditional industries, and micro-, small-, and medium-sized enterprises (MSMEs) leading Taiwan’s economic growth from behind the scenes are facing the pressure of the digital and net-zero transition. Many workers feel concerned and uneasy about job opportunities, salaries, commodity prices, and cost of living in the face of the AI wave. Farmers are also being impacted by an aging rural population and market liberalization. The government will not take these challenges lightly, and will not ignore the impact they have on each and every citizen. It is our responsibility to put our full effort into assisting traditional industries, MSMEs, working families, and those in the agricultural and fishing industries. Therefore, in addition to having proposed a 93-billion-NT-dollar tariff impact support plan to help enterprises, workers, and those in the agricultural and fishing industries weather this difficult time, the government will also be investing tens of billions of dollars each year to help MSMEs introduce AI into their work so they can move toward digital and net-zero upgrading and transformation and address challenges. For traditional machine tools, screws and nuts, and other industries that are facing difficulties, we will also be proposing separate countermeasures to actively help boost competitiveness and expand the market. My fellow citizens, times of change are also times of opportunity. Taiwan’s economic performance is clear for all to see, and our key position in the global supply chain can neither be challenged nor replaced. In the face of change, we must not doubt ourselves or waver, but seize opportunities with confidence and bravely follow through. We must not be complacent or turn back, but even more proactively forge ahead in the world. A Taiwan that is certain will serve as an important, reliable, and steady force for an uncertain world. Moving ahead, we will adopt three major strategies in order to ensure the Republic of China Taiwan’s competitive advantage: First, we will expand investment in Taiwan. Our Three Major Programs for Investing in Taiwan have yielded substantial results. Investment has surpassed NT$2.5 trillion, creating over 160,000 job opportunities. In July, the Executive Yuan extended the programs to 2027 while also expanding applicable industries and eligibility to include overseas Taiwanese businesses worldwide and foreign investing enterprises. The government is continuing to optimize the investment environment, adding NT$720 billion in new loans to attract investment in Taiwan and bring in an estimated NT$1.2 trillion in capital and 80,000 more job opportunities. Besides having good work, we should also have good lives. With this in mind, the government launched the Trillion NT Dollar Investment National Development Plan to encourage copious investment of private capital in public infrastructure through innovative public-private partnerships. It expands funding for construction while at the same time promoting critical infrastructure projects across counties and cities nationwide, in areas such as water, electricity, housing, education, healthcare, culture, tourism, and transportation. This will help meet local residents’ needs so they can live happy lives, and enable industries and spheres of living to develop in a complementary way so that we can achieve our goal of a balanced Taiwan. Second, we will deepen international economic and trade cooperation, and expand our global presence. This year, Taiwan and the United Kingdom, under the framework of our Enhanced Trade Partnership arrangement, additionally signed three pillar arrangements in investment, digital trade, and energy and net-zero. This marks a new milestone for Taiwan-UK economic and trade relations, showing our mutual commitment to high international trade standards and laying the foundation for cooperation in technology, advanced manufacturing, and other strategic industries. Moving ahead, Taiwan will sign bilateral economic and trade cooperation agreements with even more friends and allies while upholding the principle of mutual benefits. We will also actively engage in reciprocal tariff negotiations with the US to secure a reasonable rate, resolve the trade deficit between Taiwan and the US, and deepen industrial cooperation. This will enable Taiwan’s economic development to become more globally connected and thereby make great strides. Third, we are building a chain of “guardian mountains” to shore up Taiwan’s industrial capabilities. In this digital age, we will implement 10 new AI infrastructure initiatives. In addition to helping make Taiwan one of the world’s top five computing centers, we will also invest more vigorously in R&D in three key technological fields: quantum technology, silicon photonics, and robotics. This will facilitate the introduction of AI tools in different sectors and professions, and promote the application of AI in various fields, helping Taiwan move toward an era of comprehensive smart technology and continue to maintain its leading position in global tech development. We are also building Taiwan into a hub in Asia for asset management. This will not only help retain trillions in Taiwanese capital, but attract investment in Taiwan with international capital, promoting growth in the financial industry, creating quality job opportunities, and strengthening Taiwan. The biopharmaceutical industry is a key national industry and has thus been included in our National Project of Hope. We are also developing toward greater use of precision health in health maintenance, preventive medicine, diagnosis, treatment, and care, giving our nation durable competitiveness and advancing the well-being of our people. Next year, our National Infectious Diseases Bank will be completed, and Taiwan will continue stepping up its cooperation with other countries in the field of biotechnology. Through our program for investment in smart healthcare innovation and entrepreneurship, with its budget of NT$10 billion, we will encourage more firms to invest in innovative R&D, expand investment, and move the biomedical industry toward becoming a trillion-NT-dollar industry, which will be one more guardian mountain for our nation. My fellow citizens, Taiwan is for all the people of Taiwan. We are well aware that no matter how impressive our economic performance may be, we must not overlook anyone on this land. The fruits of our economic growth should be enjoyed by all our people. Good numbers should translate into good lives, with no one left behind. Helping our citizens stay healthy, nurturing young talent, creating an even better environment for the younger generation, and providing greater support for young families is the government’s absolute responsibility. The Healthy Taiwan Cultivation Plan, launched this year, is improving the medical environment and system overall and will ensure higher quality healthcare services for all citizens. Also this year, we officially established the Ministry of Sports, ushering in a new era of sports for all, competitive sports, and professional sports. With this new ministry, we aim to ensure that all athletes receive full national support so that they can pursue their dreams on the global stage, winning national glory. In addition, to support our young people, we are providing free tuition for high schools and vocational schools, and an NT$35,000 annual tuition subsidy for students of private junior colleges, colleges, and universities. Our Taiwan Global Pathfinders Initiative, which supports young people aged 15 to 30 in pursuing their dreams abroad, is officially underway. Moreover, for renters, the government provides NT$30 billion in annual rent subsidies. Unmarried renters with an annual income below NT$626,000, families of four with a combined annual income below NT$1.641 million, and households with three generations living together with a combined annual income below NT$2.1245 million will be exempt from individual income tax. We will also provide even greater support to the young parents in our society. In addition to promoting version 2.0 of our national childcare policy for ages 0–6, with increased childcare allowances and expanded childcare subsidies, starting next year, the government will provide an increased birth subsidy of NT$100,000 per child. Nor do our senior citizens need to worry. Next year, with the launch of Long-Term Care 3.0, the government will work hard to ensure that all seniors receive more convenient, more comprehensive care. Our goal is to ensure that all to whom the nation belongs – our children, young people, parents, and grandparents – receive better care so that they can face the future with greater confidence. This year also marks the 80th anniversary of the end of World War II. The lessons of World War II are still fresh in our memory. The ambitions of the aggressors in that conflict caused widespread devastation and loss of life. In today’s world, authoritarianism continues to expand and the international order faces severe challenges. Regional order in the Taiwan Strait, East China Sea, and South China Sea, and even the security of the entire first island chain, are under serious threat. Democratic Taiwan is a crucial link for the peace and stability of the Indo-Pacific and a responsible member of the international community. As such, Taiwan will work to uphold the status quo, ensure peace and stability across the Taiwan Strait, and promote the prosperous development of the region. We look forward to the day when China can take responsibility as a major power and cease its distortion of United Nations General Assembly Resolution 2758 and historical World War II documents. We also hope it will renounce the use of force or coercion to change the status quo across the Taiwan Strait so that we can jointly maintain the peace and stability of the Indo-Pacific. Looking back at World War II, we see that so many experienced the suffering of war and the pain of invasion. We should learn from these lessons and ensure that the tragedies of history are never repeated. The outcomes of that conflict tell us that aggression fails, unity prevails, and that peace is won through strength. I want to declare to our citizens and the international community: At the end of this year, we will be proposing a special budget for national defense. 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, showing our determination to safeguard the nation. The increase in defense spending has a purpose; it is a clear necessity to counter enemy threats and a driving force for developing our defense industries. Through our new defense budget, we aim to achieve three major goals: First, we will accelerate our building of the T-Dome, establish a rigorous air defense system in Taiwan with multi-layered defense, high-level detection, and effective interception, and weave a safety net for Taiwan to protect the lives and property of citizens. Second, we will advance the integration of high-tech and AI technologies to build a smart defense combat system, maximizing effective deterrence for our asymmetric strategy. Third, we will continue to invest in innovative defense technologies and collaborate with the military industries of advanced nations to bolster our defense industry capabilities. We will strengthen our domestic supply chains through local R&D, design, and manufacturing. This will enable Taiwan to accelerate industry upgrades, enhance the resilience of our military equipment, and boost the capacity of our defense industry. In that way, Taiwan, becoming a trusted security partner for our friends and allies, can jointly avoid the red supply chain and foster trust in defense among free and democratic countries, while building a robust line of defense to safeguard the values of freedom and democracy. We are determined to maintain peace through strength. We firmly believe that strength is not obtained through military strength alone, but must also rely on resilience throughout society. Over the past year, through the efforts of the Office of the President Whole-of-Society Defense Resilience Committee, we have built up greater strength between the government and private sector, and between the central and local governments. We have integrated disaster prevention and defense to strengthen military-civilian cooperation. We have also continued to strengthen resilience in civilian training, energy, healthcare, information and communications networks, and finance, comprehensively enhancing our ability to respond to various crises. I want to emphasize that building societal defense and resilience requires every ounce of effort. Last month, we released our updated national public safety guide, which includes strategies for responding to various natural disasters and even extreme scenarios such as a military invasion. We plan to gradually ensure that each and every household has access to this safety guide, because only when all of society participates and learns to help themselves and one another can Taiwan develop greater resilience to face all kinds of challenges. My fellow citizens, over the past year, we have faced numerous challenges together, but the people of Taiwan never give up hope. Whenever a crisis arises, we always see numerous Taiwanese standing on the frontline, selflessly dedicating themselves to the nation they love. Just last month we saw two very moving scenes. The first was at the UN General Assembly held in New York, where many members of the overseas Taiwanese community raised money and launched a fundraising campaign to light up Times Square with advertisements to “Chip in with Taiwan,” promoting Taiwan’s participation, and advocating that we are “Better Together.” It touched the hearts of people around the world. The second was the tens of thousands of volunteers who, after the Fata’an Creek barrier lake disaster, slipped on their rain boots, shouldered their shovels, and traveled great distances to provide relief to help the affected residents of Hualien return to normal life as soon as possible.  These “superheroes with shovels” did more than dig out heavy mud and sludge to help disaster victims return home; these heroes also uncovered a light – a light of hope that warmed every heart it touched. More than that, they proved the remarkable resilience of the Taiwanese people and their resolve to protect our homeland in the face of crisis. Now, let us all thank these superheroes of disaster relief, who come from all walks of life and from all over the country, as well as friends from abroad and the military, police, firefighters, and central and local government personnel who devoted themselves to the relief effort. This spontaneous nationwide movement is absolutely unique in the world, and for that the world will remember: Taiwan, that small mountainous country, is truly compassionate, and truly great! Moving forward, I will continue to lead the country, hearts united, without fear of hardship or challenge, bravely, toward an even better tomorrow. Let’s keep going, Taiwan! Let’s keep going, Republic of China! Let’s keep going, Republic of China Taiwan! Thank you.
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