President Lai: 8-Year, NT$100B Plan to Accelerate Revitalization of MSMEs and Traditional Industries
On May 20, President Lai Ching-te announced that the government will propose a NT$100 billion plan to accelerate the upgrading and transformation of micro, small, and medium-sized enterprises (MSMEs) and traditional industries. The plan aims to let the tech industry drive growth in traditional sectors, ensuring national development benefits all industries, families, the younger generation, and provides care for laborers, farmers, fishermen, the elderly, and the disadvantaged.
📋 Article Processing Timeline
- 📰 Published: May 20, 2026 at 13:36
- 🔍 Collected: May 20, 2026 at 14:01 (25 min after Published)
- 🤖 AI Analyzed: May 20, 2026 at 14:12 (11 min after Collected)
(CNA, Taipei, May 20, by reporters Yeh Su-ping, Wen Kuei-hsiang, Kao Hua-chien) President Lai Ching-te said today that the government will propose a NT$100 billion plan to accelerate the upgrading and transformation of micro, small, and medium-sized enterprises (MSMEs) and traditional industries. This will allow the tech industry to drive growth in traditional sectors, further extending national development to all industries. He emphasized that this will not create a crowding-out effect, as it is an 8-year, NT$100 billion "Accelerated Revitalization Plan for Micro, Small, Medium, and Traditional Industries."
President Lai delivered his inaugural address at the Presidential Office this morning, stating that the government will propose a NT$100 billion plan to speed up the upgrading and transformation of MSMEs and traditional industries. This will enable the tech industry to lead traditional industries, ensuring that national development is implemented across all sectors, in every family's life, for every young person's opportunity, and in the care for the vast number of laborers, farmers, fishermen, the elderly, and the disadvantaged.
In response to media questions, President Lai further pointed out that supporting micro, small, medium, and traditional industries is a key policy focus after his inauguration. Taiwan has about 1.7 million MSMEs, providing over 80% of Taiwan's employment opportunities. In fact, many of Taiwan's traditional industries have already forged their own path to become hidden champions.
The President said that the broad range of micro, small, medium, and traditional industries have many problems that require government assistance. Early in his term, he proposed the "Diversified Revitalization Program for MSMEs," allocating over NT$10 billion annually to assist with digital transformation, net-zero transition, and more.
President Lai stated that the government will now accelerate and scale up its efforts, proposing another NT$100 billion plan to strengthen the upgrading and transformation of MSMEs and traditional industries. Economic development should not only benefit high-tech industries but should be realized across all sectors.
The President stressed that this NT$100 billion plan will not cause a crowding-out effect. He estimated it to be an 8-year, NT$100 billion "Accelerated Revitalization Plan for Micro, Small, Medium, and Traditional Industries," hoping that all industries and the MSMEs that provide 80% of jobs can receive government support.
Additionally, the President said that under the "AI New Ten Major Constructions," focusing on four major infrastructures and three key technologies to achieve three major goals, one of which is to help at least 1 million MSMEs achieve smartization by 2040.
He said that Premier Cho Jung-tai's report yesterday mentioned that the current law helping MSMEs in Taiwan is the "Small and Medium Enterprise Development Act," and the government intends to enhance its effectiveness by transforming it into the "Act for the Upgrading, Transformation, and Development of Small and Medium Enterprises."
The President stated that one point is very important: assistance will not be given to individual SMEs but may in the future be directed at an industrial park or a science park. The history of Taiwan's industrial development involved using agriculture to support industry, and industry in turn driving agricultural development. Now that the tech industry is successful, it must in turn drive traditional industries; this is the concept of an ecosystem.
President Lai gave the example of TSMC, a world-class company, which is promoting the localization of raw materials, equipment, and partner companies. Taiwan has many high-tech industries that are globally significant. The high-tech sector has many sub-fields, including semiconductors, information and communications technology, electronic components, passive components, and printed circuit boards. The government must help them establish deeper and more stable roots, so that Taiwan's MSMEs can be driven and benefit from the development of the high-tech industry, rather than the high-tech industry developing on its own while MSMEs struggle alone.
He said the government is using laws, funds, budgets, and policies to promote an ecosystem, allowing all industries to develop, so that the 1.7 million companies and over 10 million workers can live and work in peace and contentment.
President Lai delivered his inaugural address at the Presidential Office this morning, stating that the government will propose a NT$100 billion plan to speed up the upgrading and transformation of MSMEs and traditional industries. This will enable the tech industry to lead traditional industries, ensuring that national development is implemented across all sectors, in every family's life, for every young person's opportunity, and in the care for the vast number of laborers, farmers, fishermen, the elderly, and the disadvantaged.
In response to media questions, President Lai further pointed out that supporting micro, small, medium, and traditional industries is a key policy focus after his inauguration. Taiwan has about 1.7 million MSMEs, providing over 80% of Taiwan's employment opportunities. In fact, many of Taiwan's traditional industries have already forged their own path to become hidden champions.
The President said that the broad range of micro, small, medium, and traditional industries have many problems that require government assistance. Early in his term, he proposed the "Diversified Revitalization Program for MSMEs," allocating over NT$10 billion annually to assist with digital transformation, net-zero transition, and more.
President Lai stated that the government will now accelerate and scale up its efforts, proposing another NT$100 billion plan to strengthen the upgrading and transformation of MSMEs and traditional industries. Economic development should not only benefit high-tech industries but should be realized across all sectors.
The President stressed that this NT$100 billion plan will not cause a crowding-out effect. He estimated it to be an 8-year, NT$100 billion "Accelerated Revitalization Plan for Micro, Small, Medium, and Traditional Industries," hoping that all industries and the MSMEs that provide 80% of jobs can receive government support.
Additionally, the President said that under the "AI New Ten Major Constructions," focusing on four major infrastructures and three key technologies to achieve three major goals, one of which is to help at least 1 million MSMEs achieve smartization by 2040.
He said that Premier Cho Jung-tai's report yesterday mentioned that the current law helping MSMEs in Taiwan is the "Small and Medium Enterprise Development Act," and the government intends to enhance its effectiveness by transforming it into the "Act for the Upgrading, Transformation, and Development of Small and Medium Enterprises."
The President stated that one point is very important: assistance will not be given to individual SMEs but may in the future be directed at an industrial park or a science park. The history of Taiwan's industrial development involved using agriculture to support industry, and industry in turn driving agricultural development. Now that the tech industry is successful, it must in turn drive traditional industries; this is the concept of an ecosystem.
President Lai gave the example of TSMC, a world-class company, which is promoting the localization of raw materials, equipment, and partner companies. Taiwan has many high-tech industries that are globally significant. The high-tech sector has many sub-fields, including semiconductors, information and communications technology, electronic components, passive components, and printed circuit boards. The government must help them establish deeper and more stable roots, so that Taiwan's MSMEs can be driven and benefit from the development of the high-tech industry, rather than the high-tech industry developing on its own while MSMEs struggle alone.
He said the government is using laws, funds, budgets, and policies to promote an ecosystem, allowing all industries to develop, so that the 1.7 million companies and over 10 million workers can live and work in peace and contentment.