Lai Ching-te calls for “AI industry to move to central and southern Taiwan”
During an event on June 30, current President Lai Ching-te proposed a groundbreaking idea to shift the industrial focus of Taiwan from the north to the central and southern regions, with a particular emphasis on cutting-edge industries like AI artificial intelligence. The goal is to address the historical issue of “north-south imbalance” by leveraging emerging industries.
However, Lai Ching-te’s statements sparked discussions and controversies, especially with strong reactions from Taipei City and Taoyuan City. Taoyuan Mayor Zhang Shan-cheng and Taipei Mayor Jiang Wan-an both pointed out that the competition in the AI industry should have an international perspective and be approached with objectivity.
Zhang Shan-cheng emphasized not straying from the logic of industrial development. As a crucial driver of the global AI industry, Taoyuan possesses irreplaceable resources. For instance, NVIDIA CEO Huang Jen-hsun mentioned during a recent visit to Taiwan the presence of 22 out of 43 factories in the “Taiwan AI Supply Chain” in Taoyuan, indicating the city’s significant share in the global AI computing power output.
Zhang Shan-cheng mentioned President Lai Ching-te’s pre-election proposal of the “Taoyuan-Zhubei-Miaoli Silicon Valley Plan,” which was formally approved by the Executive Yuan post-election. The plan, detailed on the official website, includes initiatives to drive local industrial innovation and upgrade using technologies like chips, generative AI, and 5G.
He stressed that the development of industrial clusters should be based on objective conditions, urging President Lai to consider practical factors when formulating policies. Neglecting the existing foundations in Taoyuan and the Taoyuan-Zhubei-Miaoli region may have a negative impact on enhancing Taiwan’s overall competitiveness, ultimately resulting in mere slogans.
Jiang Wan-an highlighted the importance of industry characteristics in response to President Lai Ching-te’s policy proposal to relocate the AI industry to central and southern Taiwan. As the capital and economic center of Taiwan, Taipei City possesses unique advantages in technology research and application, including research institutions, higher education institutions, and a rich industrial chain.
While the success of moving the AI industry to central and southern Taiwan remains to be seen, it is foreseeable that there is a certain gap in infrastructure, industrial chains, and talent resources compared to the north. Establishing a new AI hub from scratch will involve challenges such as site selection, talent recruitment, and business relocation, consuming significant human and financial resources. The process of reconstruction and industrial relocation could potentially hinder the current progress of Taiwan’s AI industry development and unnecessarily burden taxpayers.
Jiang Wan-an believes that while the idea of balancing north-south development is commendable, the nature of the AI industry requires a resource-intensive and talent-concentrated environment for rapid growth and development. He suggests that the north and central-south regions can collaborate to establish a national platform for AI industry development, promoting resource sharing and technological exchange to collectively enhance Taiwan’s position in the global AI industry.
This article was originally published in collaboration with: Crypto City
