Speaker Han, Deputy Speaker Chiang, esteemed members of the Legislature:
The international landscape has grown increasingly turbulent in recent years. Changes in U.S. tariff policy, rising geopolitical risks and fluctuating energy prices have all contributed to global economic instability. Yet we continue to move forward with steadiness and caution, turning crises into opportunities. In the first half of 2025, Taiwan's economic growth rate was 6.75% and goods exports reached US$283.3 billion, a year-on-year increase of 25.9%. For the full year 2025, total exports are projected to achieve a historic high of US$589.2 billion.
The newly implemented U.S. tariffs are expected to impact Taiwan's exports and industrial output, but demand remains robust for our emerging technology products. Consequently, the forecast for 2025's annual economic growth rate has been revised upward to 4.45%, with total GDP expected to surpass NT$27 trillion (approximately US$886.1 billion), demonstrating the stability and resilience of the Taiwanese economy.
Taiwan has proactively engaged in dialogue with the U.S. government since the latter imposed reciprocal tariffs on countries around the world in April this year. The discussions have yet to conclude, and negotiations remain ongoing. Throughout the talks, our negotiating team has stood by the principles of safeguarding our national and industrial interests, public health and food security. In order to maintain Taiwan's industrial competitiveness, we are currently seeking more favorable and reasonable tariff rates, as well as preferential tariff treatment in the ongoing investigation of imports under Section 232 of the U.S. Trade Expansion Act of 1962.
Moving forward, Taiwan will face many different challenges. I urge our administrative team to act swiftly and take bold responsibility. Every policy and measure we implement should not only address the issues at hand, but also guide the course of the country's future development.
Five major policy directions
1. Supporting diverse industries and an innovative economy
To establish a firm foundation for Taiwan's prosperity and sustainable development, the central government has allocated NT$31.1 billion (approx. US$1 billion) from its 2026 general budget toward 10 major artificial intelligence (AI) projects. These projects are a critical priority for the nation's future and a major undertaking that concerns the transformation and improvement of human life. The Executive Yuan has also approved a draft bill for a basic law on AI, which was submitted on August 28 to the Legislature for your deliberation. The proposed bill seeks to foster an environment conducive to AI development and application, enable smart living for all, and promote Taiwan as an "AI island," positioning the nation as a key global driver in the rise of AI technology.
The government's 10 major AI projects will target three main areas within Taiwan's AI ecosystem. (1) Smart applications: Enhancing the software industry and transforming traditional industries to fix labor shortages and deliver more convenient, comfortable AI-powered lifestyles to the public. (2) Key technologies: Deploying forward-looking tech to pave the way for future AI and economic growth. (3) Digital infrastructure: Including the development of sovereign AI to demonstrate Taiwan's technological capability. Together, the 10 projects are expected to generate over NT$15 trillion (approx. US$492.3 billion) in economic output, create 500,000 job opportunities and establish three world-class laboratories by 2040.
Beginning this year, the government has also launched a 10-year plan to strengthen investment in AI startups. The plan allocates NT$10 billion (approx. US$328.2 million) to boost AI industry investment, leveraging public-private partnerships to identify promising ventures. Support will be provided through five key policy levers—computing power, data, talent, marketing and capital—with the aim of growing the digital economy into Taiwan's next trillion-NT-dollar industry.
Accelerating the comprehensive development of the semiconductor, drone and smart robotics industries is one of the key priorities of our administrative team. In the semiconductor sector, we assist manufacturers in advancing cutting-edge process and packaging technologies, reinforcing Taiwan's global leadership in wafer foundry services, integrated circuit (IC) design, and packaging and testing. We are also actively supporting the development of semiconductor materials and equipment. Industry output is projected to increase by NT$2.6 trillion (approx. US$85.3 billion) by 2028.
Meanwhile, for Taiwan's drone industry to achieve our goal of NT$40 billion (approx. US$1.3 billion) in output value by 2030, we must focus on three priorities: increasing autonomy in core drone technologies; integrating military and commercial drone technologies while developing countermeasure systems; and building drone industry clusters. The government has established the Taiwan Excellence Drone International Business Opportunities Alliance to connect with international markets, and is collaborating with the local private sector to build a national coalition dedicated to advancing Taiwan's drone industry.
Smart robotics is also key for the next stage of development in Taiwan's technology sector. As the population structure shifts rapidly, smart robots offer vital solutions to labor shortages and the growing demand for elderly care. Accordingly, the Executive Yuan in July approved a plan to promote the smart robotics industry (2026-2029).
In August, the Executive Yuan approved a plan to develop next-generation communications technology (2025-2030), seizing the opportunity to expand into this emerging industry and complementing the third phase of the National Space Technology Long-term Development Program (2019-2031). Through these initiatives, we are building a self-reliant, technology-driven framework for industrial innovation, deepening international cooperation, strengthening Taiwan's critical role in the global supply chain, and empowering our next-generation communications industry with strategic influence in international decision-making.
To further fortify our position in the global supply chain, the Executive Yuan in July approved a plan to actively promote Five Trusted Industry Sectors: semiconductors, AI, military, security and surveillance, and next-generation communications. The plan aims to make Taiwan an indispensable and trusted technological partner of democracies around the world, and, through innovation-driven industrial development, create high-paying jobs and bolster national security and resilience.
In response to rapid shifts in the international economic landscape and to meet the needs of industries undergoing digital and net-zero transformations, amendments to the Industrial Innovation Statute were promulgated on May 7. These amendments include an extension of tax incentives for investments in smart machinery, 5G and information security through the end of 2029, along with additional measures to encourage greater investment in startup enterprises.
This year, the government allocated NT$11.6 billion (approx. US$380.7 million) toward a plan for the diversified revitalization and development of micro-, small and medium-sized enterprises (MSMEs). This initiative assists MSMEs with digital transformation, net-zero transition and channel development, while also establishing a one-stop rapid service center to offer streamlined, direct support.
In July, the Kaohsiung Asset Management Zone was inaugurated as part of the broader Asian Asset Management Center initiative. Serving as a key launching point for Taiwan's ambition to become Asia's central hub for asset management, the Kaohsiung Zone will actively promote financial measures to attract more overseas capital and returning talent, broaden and deepen Taiwan's asset management market, and set new milestones in the country's expansion into international financial markets.
Taiwanese agriculture currently faces many challenges. To mitigate the impact of new U.S. tariff policies, the government has put forward an NT$18 billion (approx. US$590.8 million) support package for agriculture and fisheries, aimed at stabilizing short-term financing and facilitating industry transformation and upgrading. In addition, the government has been proactively advancing smart agriculture and fisheries, including applications of AI to enable precision management of farms. Remote sensing and AI are also being used to rapidly assess damage from disasters. These measures accelerate response and recovery efforts, protect farmers' livelihoods, bolster industry resilience, and uphold the rights and interests of farmers and fishers.
In May, Taiwan was officially recognized by the World Organisation for Animal Health as free of classical swine fever. It is now the only country in Asia free of classical swine fever, African swine fever and foot-and-mouth disease, representing not only a major milestone in animal disease prevention and inspection, but also a mark of quality for promoting Taiwanese pork in international markets.
As for the tourism industry, the first half of 2025 saw about 4.2 million visits to Taiwan, an increase of 10.1% compared to the same period last year. Arrivals from Japan and South Korea continue to grow steadily, while the U.S. has become our fourth-largest source of international visitors. These trends show that Taiwan's tourism industry has moved beyond its past reliance on a single market and can now embrace more diverse global markets, striving for both greater quality and scale.
To further grow the tourism industry, the government will coordinate cross-sector cooperation and resource investment to actively implement promotion strategies such as strengthening Taiwan's new tourism brand, advertising themed travel itineraries and exchanges, and enhancing the capabilities of overseas service centers. In addition, the central government's 2026 general budget newly allocates NT$7.5 billion (approx. US$246.2 million) to stimulate demand for domestic travel through initiatives spanning the economy, transportation, culture and sports. The government will promote weekday travel discounts to incentivize local tourism and will actively encourage events—including those in the meetings, incentives, conventions and exhibitions (MICE) industry, as well as concerts, international conferences and international competitions—to be held in Taiwan, in order to energize tourism and drive consumer spending.
2. Easing people's burdens with care across all ages
Our administrative team is actively working to reduce the cost of living for the public, striving to ensure that people feel supported by the state at every stage of life.
This year, individual income tax exemptions and deductions have been substantially increased. Our government continues to push for lighter taxation and streamlined administration.
To help families better care for young children, the Executive Yuan is not only continuing to implement the national child care policy 2.0 for ages 0-6, but has also recently approved version 2.0 of a national program to address declining birth rates (2026-2029), along with a draft bill for a new child care services act. We hope these efforts will lead to improved care environments so that all young children can grow up safe and healthy.
The government also continues to provide grants for the construction of new public preschool facilities, working with communities to create more child-friendly spaces and enabling more families to access affordable education and care services.
To build a more comprehensive system of public support, the government continues to advance initiatives to strengthen the workplace and job market, aiming to increase labor participation among women and middle-aged and older adults. Relevant measures include vocational training, allowances for parental leave without pay, child care subsidies, flexible work hours and other measures for a friendlier workplace. Starting in 2026, parents will be able to apply for parental leave without pay in single-day units, and for family care leave in hourly units, thus reducing the burden of childrearing and elder care, and fostering family-friendly work environments.
To effectively ease the housing burden for the public, we have extended the central government's NT$30 billion (approx. US$984.6 million) expanded rent subsidy program through next year, and we are collaborating with the private sector to offer various types of social and youth housing. In particular, we are continuing our program to support 1 million renter households. By 2032, this program aims to provide a cumulative total of 750,000 homes with annual rent allowances and supply 250,000 additional social housing units through either direct construction or a subleasing and management program.
To encourage childbirth, the government will launch a rental housing support policy in 2026 that gives newlyweds and parents of young children larger housing allowances, priority move-in access and extended lease terms. Furthermore, the government will allocate new funding to ensure that maternity benefit payments of up to NT$100,000 (approx. US$3282) are available under all social insurance programs, helping to alleviate financial stress on the younger generation.
Taiwan becomes a super-aged society this year, and our elderly and disabled populations continue to grow. Our government has acted proactively and preemptively to establish high-quality, affordable and accessible long-term care service systems. Building on the foundation of diverse, community-based services put in place by the Long-term Care Plan 2.0, we will soon launch the Long-term Care Plan 3.0. This next phase will strengthen the integration of medical and care services, expand the range and reach of services, provide greater support to long-term care households and institutions, better connect the medical and social welfare systems, and enhance care for disabled people.
Following President Lai Ching-te's goal to cut cancer deaths by one-third by 2030, the government is expanding key initiatives such as improving early-stage cancer screening, focusing on genetic testing and precision medicine, establishing an NT$10 billion (approx. US$328.2 million) fund for new cancer drugs, and launching the "888 Program" to tackle the "three highs" of high blood pressure, high blood sugar and high cholesterol. Furthermore, in response to Taiwan's changing population structure and growing health care demands, and to ensure the long-term sustainability of the National Health Insurance system, we have introduced the Healthy Taiwan Cultivation Plan (2025-2029). This plan aims to comprehensively strengthen medical institutions, enhance public health and welfare, and position Taiwan as the most medically advanced country in the Asia-Pacific region, in accordance with President Lai's policy vision for a healthier Taiwan.
Last year, the Executive Yuan approved a four-year NT$27.5 billion (approx. US$902.6 million) plan to boost the nation's nursing workforce. This year, our general budget allocates NT$6.685 billion (approx. US$219.4 million) toward the improvement of work environments for medical personnel. We are implementing a range of strategies, including the expansion of an integrated inpatient care program and the adoption of technologies to reduce the workload of nurses. At the same time, the government is actively introducing AI and smart innovations to assist data management at hospitals and clinics.
To address Taiwan's aging population, the government plans to launch a policy in 2026 to promote home-based health care technology. This policy aims to drive adoption of smart technologies, extend medical and care services into homes and communities, alleviate strain on health care workers and address the diverse care needs of the public, while also spurring innovative development in the biomedical industry.
3. Empowering every generation to achieve self-realization
Aligning with the global trend of youth mainstreaming, the Executive Yuan approved a draft bill for a basic law on youth affairs. The proposed legislation aims to ensure opportunities and channels for youth participation in public affairs, establish more comprehensive public support systems, promote diverse youth development, and strengthen Taiwan's competitiveness in the new era.
To support young people in school and life, the government has implemented free tuition for all senior and vocational high school students, while providing financial aid for tuition and fees at private colleges and universities, aiming to narrow the cost gap between public and private institutions. We are also offering financial aid for student accommodation at colleges and universities and launched a dormitory re-design initiative to improve their living environments. Furthermore, the government is enhancing the cultivation of top-tier talent and research capacity through a scholarship program for doctoral students, while empowering youth to boldly chase their dreams through international exchanges via the NT$10 billion (approx. US$328.2 million) Taiwan Global Pathfinders Initiative.
To safeguard labor safety and health, while addressing international development trends, domestic industry conditions and public expectations, the Executive Yuan has submitted draft amendments to the Occupational Safety and Health Act for legislative deliberation, with a view to fostering friendlier working environments and demonstrating the government's firm commitment to protecting workers' rights.
Next year will mark the 10th consecutive annual increase in minimum wages. From 2016 to 2026, the monthly minimum wage will rise by 47.4% from NT$20,008 (approx. US$657) to NT$29,500 (approx. US$968), and the hourly wage will increase by 63.3% from NT$120 (approx. US$3.94) to NT$196 (approx. US$6.43). To continue raising overall wage levels, the government will apply a diverse range of innovative strategies, which include promoting industrial upgrading and transformation, increasing wage transparency and providing effective incentives for companies to adjust salaries upward.
The Ministry of Sports, newly inaugurated on September 9, will actively encourage fitness habits for all, bolster support for athletes' development and rights protection, expand the sports industry, promote international sports engagement and advance adaptive sports, thereby ushering in a new era for sports in Taiwan.
Culture lies at the foundation of a nation and is an integral part of everyday life. Under the Taiwan Culture Base program, 110 "culture bases" from across Taiwan—each reflecting the nation's unique history, culture and ecology—have been identified, with more to be selected in the future. By attracting tourism, these bases will contribute to the development of a cultural industry with meaningful economic scale.
This year, the Executive Yuan approved version 2.0 of the Regeneration of Historic Sites project, with plans to commit more public funding and policy support. By integrating local culture, startups and creative sectors, the updated project aims to not only support the restoration of historical sites, but also to revitalize the spirit of Taiwan's heritage.
To nurture Taiwan's cultural and creative industries and deepen its cultural foundations, the government this year lowered the eligibility age for the Culture Points voucher program from 16 to 13, providing the younger generation with more opportunities to explore vibrant and diverse cultural experiences.
The Ministry of Culture's 2026 budget, which includes the Cultural Development Fund, will again exceed NT$30 billion (approx. US$984.6 million). This funding will not only strengthen Taiwan's cultural and arts industries, but also expand the international reach of local cultures, giving them wings to carry Taiwan to the world.
To foster a society that upholds gender equality, we are implementing a national action plan for preventing gender-based violence (2025-2027). By integrating prevention efforts into the government's overall development strategy, the plan aims to establish a comprehensive prevention system and promote a culture of zero tolerance for such violence.
Ethnic diversity is both a defining feature and a source of pride for Taiwanese society, as well as a key value underpinning the government's efforts to promote ethnic equality. To uphold the constitutional guarantees of indigenous peoples' rights to identity and cultural recognition, and in response to over 20 years of advocacy for the official recognition of plains indigenous groups (also known as the Pingpu peoples), the Executive Yuan has submitted to the Legislative Yuan for deliberation a draft bill for an act pertaining to the status of plains indigenous groups. This proposed law aims to advance ethnic equality and promote the inclusive development of a multiethnic society.
As part of efforts to promote Hakka cultural heritage and revitalize the economies of Hakka villages, the government is distributing 280,000 Hakka Coin digital vouchers, each worth NT$1,000 (approx. US$32.82), to encourage people to engage with the Hakka language, culture and villages.
The government will also continue to invest in the revitalization of Hakka villages by improving their living environments, creating more job opportunities, incentivizing the transmission of the Hakka language and developing the "HA-FOOD" brand, thereby positioning Hakka culture as a valued contributor to global cultural diversity.
4. Advancing balanced, sustainable development throughout Taiwan
The government is expediting the implementation of six major regional flagship projects, each corresponding to a specific region of Taiwan: (1) a "golden corridors" project aimed at developing tech innovation, tourism, marine industries and green energy in Taipei, New Taipei, Keelung and Yilan; (2) a "Silicon Valley" in Taoyuan, Hsinchu and Miaoli; (3) a new center for precision machinery and smart technology in Taichung, Changhua, Nantou and Yunlin; (4) a southern "Silicon Valley" in Chiayi, Tainan, Kaohsiung and Pingtung; (5) a "slow living" project focusing on smart agriculture and leisure industries in Yilan, Hualien, Taitung and southern Pingtung; and (6) a low-carbon, sustainable recreation initiative in the outlying islands of Kinmen, Matsu and Penghu. These initiatives will effectively reduce disparities between the cities and the countryside, as well as between the rich and the poor, while accelerating balanced regional development.
To attract private funding into Taiwan's public infrastructure, the government launched the Trillion NT Dollar Investment National Development Plan, and is actively pursuing a strategy based on innovative mechanisms for advancing public-private partnerships. As of the end of August 2025, the value of contracts nationwide that involve private sector participation in public infrastructure has reached NT$157.2 billion (approx. US$5.2 billion), and over the next four years, this number is expected to reach NT$682.9 billion (approx. US$22.4 billion), with an anticipated creation of 126,000 jobs.
Our major infrastructure projects are making steady progress toward balancing regional development across Taiwan. The Danjiang Bridge and its connecting roads are slated for completion by the end of this year and expected to open to traffic in May next year; the North Concourse of Taoyuan International Airport Terminal 3 will open this December; and the first phase of construction for a new terminal at Kaohsiung International Airport is scheduled for completion in 2032.
Penghu's Magong Visitor Center officially opened in April this year, introducing smart services that breathe new life into the development of Penghu's tourism and leisure industries. A new large-scale visitor center at Kinmen's Shuitou Pier, scheduled for completion this November, will be able to accommodate international cruise ships of up to 10,000 gross tons, supporting the government's vision of developing a world-class passenger and tourism port in Kinmen.
Suhua Highway, part of Provincial Highway No. 9, is the only major road connecting Hualien and Taitung to Yilan and Taipei, but it has experienced increasingly frequent closures due to typhoons and earthquakes. In response, the Executive Yuan approved a Suhua Highway safety enhancement project in August this year, allocating a total budget of NT$105.6 billion (approx. US$3.5 billion), with full completion and opening of the entire route expected in 2032.
Launched in July 2023 to promote transportation equity and sustainable mobility, TPASS monthly travel passes have been utilized more than 1.1 billion times as of July 2025. To build on these results, the Executive Yuan approved the TPASS program's extension (2026-2029), committing a budget of NT$36.38 billion (approx. US$1.2 billion). By 2029, the program is expected to achieve a monthly average of 800,000 trips across all of its initiatives, further boosting public transportation use.
In line with the goal of achieving net-zero carbon emissions by 2050, the Executive Yuan approved phase three of its periodic regulatory goals for greenhouse gas emission in May this year. Compared to 2005 baseline levels, national greenhouse gas emissions are to be reduced by 28% (plus or minus 2%) by 2030, a more ambitious reduction target than the 24% (plus or minus 1%) announced in 2022. Taiwan's electricity emission factor—a measure of the amount of carbon emitted per unit of electricity generated—is set to be lowered to 0.319 kg CO2e per kilowatt-hour by 2030. These goals will serve as a basis for the nation's carbon reduction efforts over the next five years. Additionally, Taiwan will announce its 2035 Nationally Determined Contribution (NDC 3.0) by the end of this year, seeking to reach its new carbon reduction targets through strengthened public engagement and a national decarbonization action plan.
We understand the public's call for diversified energy options. On the issue of nuclear energy, the government will adhere to three principles—ensuring nuclear safety, resolving nuclear waste and achieving social consensus—and maintain an open attitude on the adoption of new nuclear technologies if they meet these criteria.
Through efforts to promote energy transition, energy saving and manufacturing process improvements, Taiwan has in recent years attained a 5.1% average annual rate of energy efficiency improvement, surpassing the global 4% target set at the 28th United Nations Climate Change Conference (COP28) ahead of schedule. Leading up to 2030, the government will focus on conducting coal-to-gas switching; deploying advanced carbon reduction technologies; promoting diverse green energy sources, including wind power, solar photovoltaics (PV), hydropower and deep geothermal power; and implementing forward-looking solutions in areas such as energy storage, deep energy saving and resilient power grids.
Since the launch of the second energy transition initiative in 2024, we have prioritized the development of diverse green energy sources, implemented a program promoting deep energy saving (2024-2027) to continue upgrading energy use efficiency, and officially introduced a carbon fee system this year. We are resolute, steady and strategically nimble in our progress toward net-zero status by 2050, pursuing sustainable growth and shared prosperity as part of the global community.
Taiwan is uniquely endowed with favorable geographic and environmental conditions for developing offshore wind power. Last year, we added 1.783 gigawatts (GW) of offshore wind capacity to the grid—the highest annual increase among democratic countries—bringing the nation's total installed capacity to 3.04 GW, the fifth highest globally. As of mid-September this year, Taiwan has 455 offshore wind turbines nationwide, totaling 4.18 GW of installed capacity. Regarding solar energy, the nation's total installed solar PV capacity has reached 15 GW as of August this year, with 9.6 GW from rooftop systems and 5.4 GW from ground-mounted systems. To further accelerate solar PV deployment, the government will invest NT$4.08 billion (approx. US$133.9 million) over four years starting in 2025 to implement the Residential Rooftop Solar Energy Installation Acceleration Plan, aiming to install an additional 1.2 GW of capacity from rooftop systems. This initiative will support Taiwan's steady progress toward its 2026 goals of reaching 20 GW in total solar PV capacity and generating 20% of its electricity from green sources.
To address the growing threat of extreme weather events and challenges of continued economic development, long-term investment in flood control and water management infrastructure is essential. In this regard, the government's eight-year, NT$80 billion (US$2.6 billion) water management construction initiative and its water environment infrastructure project under the Forward-looking Infrastructure Development Program have already produced initial results. The central government has budgeted NT$53.7 billion (US$1.8 billion) toward the completion of systematic flood control works in 2026. We will continue to focus on promoting new approaches to water management and supply, and on reducing leakage rates. This will include integrating emerging technologies, such as AI, into disaster preparedness to strengthen flood resilience and ensure a stable, sustainable water supply for Taiwan.
Construction of the Hsinchu Desalination Plant began in May this year, demonstrating the government's commitment to securing a stable water supply and building resilient water infrastructure. Once completed, the facility will be Taiwan's first large-scale public seawater desalination plant, with a daily capacity of 100,000 metric tons and an annual output of 30 million metric tons. It is expected to significantly enhance water supply stability and source autonomy in the Hsinchu region, bringing vital water resources to support the development of the "Silicon Valley" spanning Taoyuan, Hsinchu and Miaoli.
Meanwhile, to assist the growth of the southern "Silicon Valley" spanning Chiayi, Tainan, Kaohsiung and Pingtung, the newly constructed Rende Reclaimed Water Plant in Tainan officially began supplying water in April this year. Capable of producing approximately 8,000 metric tons of reclaimed water daily and around 2.9 million metric tons annually, the plant provides this reclaimed water to nearby industrial users in exchange for their clean tap water supply being redirected to distant users through existing pipelines. The plant is the first in Taiwan to adopt this new diversified, sustainable approach to water management.
To improve the efficiency of water resource utilization, the government will invest NT$80.8 billion (US$2.7 billion) over the next eight years to continue the Water Leakage Rate Reduction Plan (2025-2032), which includes the adoption of smart methods to monitor and reduce leakage. By the end of this year, Taiwan's leakage rate is expected to fall to 11.55% or lower, and the goal is to reduce it to 10% by 2031.
5. Strengthening social resilience and national security
To bolster public security, we will continue our policy of tackling five major types of crimes (organized crime, financial crime, gun crime, drug crime and fraud crime) and upholding safety in seven key areas (public safety, food safety, road safety, occupational safety, school safety, housing safety and cyber safety). This year, the government introduced version 2.0 of its next-generation anti-fraud strategy guidelines, aimed at strengthening anti-fraud capabilities across strategic, legal and organizational dimensions. The guidelines' three main goals are to raise fraud awareness, reduce the number of incidents and minimize financial losses, enabling the establishment of a nationwide anti-fraud network capable of intervening early to stop scams.
For the year 2026, the government has allocated NT$8.3 billion (US$272.4 million) to anti-fraud efforts. It will continue to build a more resilient anti-fraud network in collaboration with all digital platforms, enhance public awareness through diverse channels, and work with financial institutions to reinforce financial safeguards against fraud. From January to August, we thwarted 13,671 cases of fraud, preventing over NT$9.6 billion (US$315.1 million) in financial losses.
Drug enforcement is a core component of public security. The government will continue implementing phase three of the New Generation Anti-Drug Strategy Guidelines, devoting NT$15 billion (US$492.3 million) over four years to advance a strategy aimed at cutting off supply and demand, mitigating harm, supporting stable reintegration and preventing recidivism. In addition, international cooperation on drug control has been bolstered. On August 18, 2025, Taiwan and the U.S. signed a memorandum of understanding on intelligence sharing and cooperation to combat transnational drug crimes, marking a new chapter in Taiwan-U.S. law enforcement collaboration. To help curb the harm caused by fentanyl in the U.S., Taiwan began requiring, as of March 31 this year, that all exported tablet presses and related key components be marked with serial numbers. This measure, which is similar to those used for tracking firearms, serves to prevent the illegal use of tablet press equipment and, as the first of its kind in Asia, demonstrates Taiwan's commitment to fulfilling its international responsibilities in combating drug crime.
In response to ever-evolving cyber threats and attacks, as well as other cybersecurity challenges posed by emerging technologies such as AI, the Executive Yuan approved the seventh phase of the National Cybersecurity Development Program (2025-2028) to enhance Taiwan's information security ecosystem and drive the development of cybersecurity defense capabilities that leverage emerging technologies. Furthermore, after the Legislature passed the third and final reading of amendments to the Cyber Security Management Act on August 29 this year, the amended act was promulgated by the president on September 24, laying a long-term legal foundation for cybersecurity governance.
To fortify Taiwan's self-defense capabilities and fulfill the president's national defense pledge, the central government's 2026 national defense budget will be the highest ever at NT$949.5 billion (US$31.2 billion), accounting for 3.32% of GDP and calculated according to North Atlantic Treaty Organization (NATO) standards.
Aiming to fully realize defense autonomy, the government plans to produce 66 new-model advanced jet trainers from 2017 to 2026, with 49 delivered as of September this year. In addition, to augment airspace defense capabilities against ever-evolving drone threats, the government has procured 26 counter-drone systems this year, and it will continue tapping diversified channels to acquire various types of drones and drone countermeasures, thereby enhancing overall operational and defensive capabilities.
On the diplomatic front, the government is pursuing a strategy of integrated diplomacy, continuing to deepen substantive cooperation and partnerships with our allies and like-minded partners. In June this year, Taiwan and the U.K. signed three pillar arrangements under our Enhanced Trade Partnership. Meanwhile, the U.S. Congress has introduced more than 20 bills and resolutions in support of Taiwan.
On the topic of cross-strait relations, the government is firmly committed to safeguarding peace and stability in the Taiwan Strait. In the face of hybrid pressure tactics from the Chinese Communist Party, we will continue to uphold the Four Commitments and Four Unchanged Commitments, and actively implement President Lai's Four Pillars of Peace action plan and 17 national security response strategies, so as to safeguard our national sovereignty and interests and to protect the free and democratic way of life our people hold dear.
Conclusion: Advancing together for a strong, united Taiwan
Undaunted by challenges at home and abroad, Taiwan has proven itself to be a nation capable of overcoming adversity, remaining steadfast amid shifting tides and charting the path forward on the basis of constitutional democracy.
Our administrative team will prioritize efficiency and action in four key areas—the economy, people's livelihood, vulnerable groups and the youth—to ensure a sustainable future for Taiwan and a society where people can live secure and fulfilling lives. The national interest transcends partisan divisions. We look forward to a new mode of engagement between the Executive Yuan and Legislative Yuan, where we can work together, guided by the Constitution and our laws, to advance the nation's long-term development and maximize the welfare of all Taiwanese people.
Thank you!
