President Lai Unveils 4 National Strategies to Re-anchor Democratic Taiwan in Second-Anniversary Address
On May 20, President Lai Ching-te delivered his second-anniversary address, outlining four major national strategies covering cross-strait relations, the economy, population, and defense. Emphasizing that Taiwan's future must be decided by its 23 million people, he announced initiatives to maintain peace in the Taiwan Strait, a NT$100 billion plan for SME transformation, a new population strategy, and a reinforced special defense budget, re-anchoring the future development of a democratic Taiwan.
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- 📰 Published: May 20, 2026 at 14:56
- 🔍 Collected: May 20, 2026 at 15:02 (6 min after Published)
- 🤖 AI Analyzed: May 20, 2026 at 15:54 (52 min after Collected)
President Lai Ching-te today delivered his second-anniversary address, proposing four major national strategies spanning cross-strait relations, the economy, population, and national defense. He emphasized that Taiwan's future must be collectively decided by its 23 million people and announced plans to maintain peace and stability in the Taiwan Strait, launch a NT$100 billion SME transformation project, introduce a new population strategy, and bolster the special defense budget, thereby re-anchoring the future development of a democratic Taiwan.
The President delivered his speech at the Presidential Office in the morning, themed "30th Anniversary of Direct Presidential Elections, Bravely Pursuing the Future." An analysis from party and government sources indicated that the President began by referencing the promises made to the nation during his inauguration two years ago, stressing that this responsibility has never left his mind and that he has not shirked from challenges. The speech had a clear focus, unfolding layer by layer from cross-strait relations, the economy, and population to defense, ultimately converging on the national identity of a "Democratic Taiwan." It is an attempt to re-anchor the administration's course amidst domestic political divisions and a changing international landscape, while also unveiling a blueprint for the four major national strategies.
The first declaration is to maintain the cross-strait status quo. The President clearly stated that Taiwan's future cannot be decided by external forces, nor can it be held hostage by fear, division, or short-term interests; it must be collectively decided by its 23 million people. In cross-strait policy, "maintaining peace and stability in the Taiwan Strait and preventing external forces from changing the status quo" is defined as Taiwan's national strategic goal.
The President reiterated that Taiwan is a responsible member of the international community, not a disruptor of stability. Taiwan is willing to engage in healthy and orderly exchanges with China under the principles of equality and dignity.
According to party and government sources, in the wake of the Trump-Xi meeting, as US-China interactions affect the Taiwan Strait situation, the President's choice to clearly state his position again in the second-anniversary address sends a simultaneous signal to both domestic and international audiences: Taiwan will not provoke, will not act rashly, but will not belittle itself under pressure. The President's words, "Peace cannot rely on goodwill alone, much less be built on concessions or illusions," also point to Taiwan's realistic judgment of cross-strait relations. Taiwan cherishes peace but cannot entrust it to the other side's goodwill; Taiwan pursues stability but cannot do so at the cost of its sovereignty and democratic way of life.
The second declaration is that economic benefits must be felt by all. The President for the first time publicly announced a plan of NT$100 billion to accelerate the upgrading and transformation of small, medium, micro, and traditional industries. This indicates that the administration's economic policy is not solely focused on high-tech industries but also aims to address the transformation anxiety of grassroots workers, SMEs, traditional industries, and the service sector.
The President stated that he has never forgotten the hardworking figures in all positions and corners of society; national economic growth is not about letting a few stand higher, but about enabling more people to stand more securely.
He said that over the past two years, Taiwan has indeed secured a key global position in semiconductors, AI, supply chain restructuring, and international investment. However, the President's speech today further emphasized how growth can be translated into tangible feelings in people's lives and how the entire society can share in the fruits of this transformation and upgrading. The NT$100 billion transformation plan targets the predicaments faced by SMEs in manpower, funding, technology, and AI application, with the government investing resources for targeted reinforcement.
The third declaration is that population policy is entering a new strategic phase. Facing the challenge of a low birth rate, the President announced a comprehensive "New Taiwan Population Strategy." One measure is to issue a growth allowance of NT$5,000 per person per month for those aged 0 to 18, and to provide assistance in areas such as marriage, pregnancy, child-rearing, friendly workplaces, and housing for families.
Party and government sources said the President has set the policy goal of enabling people to "dare to marry, dare to have children, dare to raise them, and dare to pursue happiness." Future population policy must integrate career paths, family division of labor, corporate responsibility, public childcare, housing support, and friendly workplaces, so that raising children is no longer a solitary battle for families but a shared responsibility of the state and society.
The fourth declaration is to mend the fold after the sheep is lost regarding the special defense budget. The President expressed a clear stance on the failure of the special defense act to pass completely in the Legislative Yuan, pointing out that this will inevitably and severely affect the peace and stability of the Taiwan Strait. The government will propose a separate special act and, through supplementary budgets and increased annual budgets, conduct commercial purchases, commission projects, engage in international cooperation, and promote indigenous defense industries to produce air, sea, and land unmanned vehicles, building a smart and sustainable defense capability.
Party and government sources stated that the President's declaration that "Taiwan must become a country with the strength to protect itself and maintain peace and stability in the Taiwan Strait" is his way of anchoring national security as Commander-in-Chief. Peace is not something to wait for; it must be supported by strength, will, and preparation. Defense investment is not just military spending; it is the necessary foundation for Taiwan to safeguard its democratic way of life and maintain regional stability.
Overall, party and government sources said that President Lai's second-anniversary address set a high bar, serving as a declaration of the national course for the next 30 years. Maintaining the cross-strait status quo shows that Taiwan does not accept external forces deciding its future; making the economy felt by all demands that the fruits of growth be shared by the people; the new population strategy responds to Taiwan's deepest generational crisis; and mending the special defense budget reinforces the foundation of strength needed for peace.
Party and government sources pointed out that the speech ultimately converged on the identity of "Democratic Taiwan." Taiwan is worth defending not just because of its geostrategic importance, but because it is a country where people can vote, choose, and decide their own future.
The President delivered his speech at the Presidential Office in the morning, themed "30th Anniversary of Direct Presidential Elections, Bravely Pursuing the Future." An analysis from party and government sources indicated that the President began by referencing the promises made to the nation during his inauguration two years ago, stressing that this responsibility has never left his mind and that he has not shirked from challenges. The speech had a clear focus, unfolding layer by layer from cross-strait relations, the economy, and population to defense, ultimately converging on the national identity of a "Democratic Taiwan." It is an attempt to re-anchor the administration's course amidst domestic political divisions and a changing international landscape, while also unveiling a blueprint for the four major national strategies.
The first declaration is to maintain the cross-strait status quo. The President clearly stated that Taiwan's future cannot be decided by external forces, nor can it be held hostage by fear, division, or short-term interests; it must be collectively decided by its 23 million people. In cross-strait policy, "maintaining peace and stability in the Taiwan Strait and preventing external forces from changing the status quo" is defined as Taiwan's national strategic goal.
The President reiterated that Taiwan is a responsible member of the international community, not a disruptor of stability. Taiwan is willing to engage in healthy and orderly exchanges with China under the principles of equality and dignity.
According to party and government sources, in the wake of the Trump-Xi meeting, as US-China interactions affect the Taiwan Strait situation, the President's choice to clearly state his position again in the second-anniversary address sends a simultaneous signal to both domestic and international audiences: Taiwan will not provoke, will not act rashly, but will not belittle itself under pressure. The President's words, "Peace cannot rely on goodwill alone, much less be built on concessions or illusions," also point to Taiwan's realistic judgment of cross-strait relations. Taiwan cherishes peace but cannot entrust it to the other side's goodwill; Taiwan pursues stability but cannot do so at the cost of its sovereignty and democratic way of life.
The second declaration is that economic benefits must be felt by all. The President for the first time publicly announced a plan of NT$100 billion to accelerate the upgrading and transformation of small, medium, micro, and traditional industries. This indicates that the administration's economic policy is not solely focused on high-tech industries but also aims to address the transformation anxiety of grassroots workers, SMEs, traditional industries, and the service sector.
The President stated that he has never forgotten the hardworking figures in all positions and corners of society; national economic growth is not about letting a few stand higher, but about enabling more people to stand more securely.
He said that over the past two years, Taiwan has indeed secured a key global position in semiconductors, AI, supply chain restructuring, and international investment. However, the President's speech today further emphasized how growth can be translated into tangible feelings in people's lives and how the entire society can share in the fruits of this transformation and upgrading. The NT$100 billion transformation plan targets the predicaments faced by SMEs in manpower, funding, technology, and AI application, with the government investing resources for targeted reinforcement.
The third declaration is that population policy is entering a new strategic phase. Facing the challenge of a low birth rate, the President announced a comprehensive "New Taiwan Population Strategy." One measure is to issue a growth allowance of NT$5,000 per person per month for those aged 0 to 18, and to provide assistance in areas such as marriage, pregnancy, child-rearing, friendly workplaces, and housing for families.
Party and government sources said the President has set the policy goal of enabling people to "dare to marry, dare to have children, dare to raise them, and dare to pursue happiness." Future population policy must integrate career paths, family division of labor, corporate responsibility, public childcare, housing support, and friendly workplaces, so that raising children is no longer a solitary battle for families but a shared responsibility of the state and society.
The fourth declaration is to mend the fold after the sheep is lost regarding the special defense budget. The President expressed a clear stance on the failure of the special defense act to pass completely in the Legislative Yuan, pointing out that this will inevitably and severely affect the peace and stability of the Taiwan Strait. The government will propose a separate special act and, through supplementary budgets and increased annual budgets, conduct commercial purchases, commission projects, engage in international cooperation, and promote indigenous defense industries to produce air, sea, and land unmanned vehicles, building a smart and sustainable defense capability.
Party and government sources stated that the President's declaration that "Taiwan must become a country with the strength to protect itself and maintain peace and stability in the Taiwan Strait" is his way of anchoring national security as Commander-in-Chief. Peace is not something to wait for; it must be supported by strength, will, and preparation. Defense investment is not just military spending; it is the necessary foundation for Taiwan to safeguard its democratic way of life and maintain regional stability.
Overall, party and government sources said that President Lai's second-anniversary address set a high bar, serving as a declaration of the national course for the next 30 years. Maintaining the cross-strait status quo shows that Taiwan does not accept external forces deciding its future; making the economy felt by all demands that the fruits of growth be shared by the people; the new population strategy responds to Taiwan's deepest generational crisis; and mending the special defense budget reinforces the foundation of strength needed for peace.
Party and government sources pointed out that the speech ultimately converged on the identity of "Democratic Taiwan." Taiwan is worth defending not just because of its geostrategic importance, but because it is a country where people can vote, choose, and decide their own future.