Economic Development Vision for 2015 -- Stage I: Three-year Sprint Program (2007-2009)

November 7, 2006

-- Outline of Presentation by MOEA Minister Steve Ruey-Long Chen

National Development Goals and Vision

The Executive Yuan has reviewed and overhauled the country's socioeconomic framework and developmental direction in response to the rapidly changing socioeconomic environment, both in Taiwan and overseas. With a "prosperous, just, sustainable, and beautiful Taiwan" as its new vision for national development, the government plans to implement a National Development Package Program in three stages, each lasting three years. This program is the government's systematic development blueprint for the period of 2007 to 2015.

Accordingly, the MOEA has formulated the "Stage I: Three-Year Sprint Program -- Industrial Development Package Program" in accordance with the Executive Yuan's two administrative priorities of “big investments" in Taiwan and caring for the disadvantaged through a policy of “big warm." The MOEA will focus its efforts on the two flagship programs of "Building a Superior Investment Environment " and "Initiating a New Era in Industrial Development," and hopes to achieve the per-capita GDP goals of US$20,000 by 2009 and US$30,000 by 2015.

Current Major Economic Policies

Building a superior investment environment

1. Providing land on preferential terms
   1. 4 years free and 6 years half- lease for government land
   2. Release of Taisugar land
   3. Extending and expanding Stage 2nd 006688 measures
   4. Assisting expansion onto adjacent non-urban land
   5. Assisting in zoning changes of areas with unregistered businesses
   6. Strengthening industrial parks and industrial infrastructure
2. Ensuring an ample labor supply
   1. Improving the working environment and increasing willingness to work
   2. Reviewing foreign worker policies
   3. Allowing foreign workers to take up undesirable jobs and shift work
   4. Establishing consultation platforms
3. Providing funding assistance
   1. Strengthening credit guarantees for SMEs
   2. National Development Fund investment in traditional industries
4. Improving efficiency of the environmental impact assessment (EIA) process
   1. Strengthening policy EIAs
   2. Improving review of individual EIA cases
5. Establishing mechanisms for encouraging private investment
   1. Joint recruitment by local and central governments
   2. Establishment of a single service window
   3. Elimination of investment barriers through inter-agency efforts

Initiating a new era in industrial development

1. Development of emerging industries -- An overview of tomorrow’s industries
   1. Broadband wireless and related services
   2. Digital life
   3. Healthcare
   4. Green industries
2. Industrial upgrading and transformation
   1. Agriculture
   2. Manufacturing
      • From cost-cutting to creation of value
        • From process innovation to product innovation
        • From single devices to system integration
      • Fostering brand value: "Taiwan Brand Development Program"
      • Mainstay industries promote the development of related industries

      Relying on mainstay industries to further the development of linked up-, mid-, and downstream industries

      • Upgrading of basic industrial equipment

        To use best available technologies (BAT) to raise energy efficiency and productivity, improve pollution control, and maintain local employment and development

        • Improvement of the Chinese Petroleum Corp.'s refining structure and upgrading of the Third Naphtha Cracker
        • Upgrading of equipment at China Steel
      • Large enterprises provide assistance to linked SMEs
        • Joint R&D and marketing
        • Funding assistance: "Credit Guarantee Fund Firefly Program"

          Example: China Steel donated NT$20 million in "Credit Guarantee Fund Firefly Program".

   3. Services
      • Deregulation, Reinforced oversight

        Full-scale review of laws and regulatory systems affecting the development of services in line with the principles of using "a negative list and reinforced oversight."

      • Applying technology to services

        Using new technology to boost innovative services in finance, telecommunications, logistics, and tourism & recreation.

      • Assisting in raising capital
        • Establishment of non-tangible-asset appraisal mechanisms.
        • Implementation of Preferential Loans for Promoting Service Industry Development.
      • Striving for service innovation
        • Promotion of outstanding DIT (Designed in Taiwan) projects.
        • Movie industry stimulus program.
        • Strengthening service and product R&D.
        • Provision of R&D subsidies for innovation services.
      • Implementing service quality certification
        • Improving service operating capabilities and service quality
        • Full implementation of existing certification systems
        • Study and planning of quality certification systems for other services
3. Balanced industrial development
   SME DEVELOPMENT VISION FOR 2009
   (1) From 1.23 million SMEs in 2005 to 1.35 million SMEs
   (2) Earning from over NT$10 trillion in 2005 to over NT$13.8 trillion
   (3) Employing from more than 7.64 million persons in 2005 to more than 7.99 million persons
   SPECIFIC MEASURES
   1. Assisting weak industries
      • Developing and diffusing common technologies and materials.
      • Promotion of MIT certification; enhancement of image of products with common marks.
      • Strengthening product labeling to prevent poor-quality foreign goods from damaging local markets.
      • Use of a trade relief mechanism to assist ailing industries.
   2. Guidance for local industries
      • Guidance for distinctive local industries
      • Establishing special zones for specific traditional industries; promoting the formation of clusters.
   3. Guidance for SMEs
      • Incubation of innovation and value-added
      • Narrowing the digital gap among industries
      • Helping SMEs improve quality

For more facts and figures from this presentation, please see the PowerPoint version: vision_for2015.en.ppt

E-mail this page.