Former Taiwan president Tsai highlights Taiwan’s global role and economic prospects in an era of change

At a gathering of more than 300 political and business leaders, experts from all fields and global partners in Taipei, former Taiwan president Tsai Ing-wen (蔡英文) said Taiwan’s resilience and innovation are positioning the island as an increasingly indispensable player in a changing world.

A gathering of leaders at Taipei’s Grand Hotel

More than 300 political leaders, legislators, business leaders, experts and international partners convened in Taipei for the annual summit of the Taiwan Inspiration Association (TIA), held on Sunday March 15 at the historic Grand Hotel Taipei.

The event drew a cross-section of Taiwan's leadership: cabinet ministers, members of the legislature, prominent business figures and tycoons from diverse industries. The evening centered on a keynote address by former president Tsai Ing-wen titled “Taiwan in an Era of Change,” along with speeches by leaders in technology, economic and media examining Taiwan’s opportunities and challenges in an uncertain global landscape.

Founded to bridge Taiwan and the world and to connect leaders across industries, TIA promotes dialogue on innovation, economic development and social resilience. Its annual gathering has increasingly become a forum where policymakers, entrepreneurs and intellectual leaders discuss Taiwan’s role in global affairs. Last year’s event featured Taiwan’s current Vice President Hsiao Bi-khim (蕭美琴).

Tsai attended the dinner and delivered her keynote before departing after the fourth course.

Tsai: Taiwan becoming “the world’s Taiwan” 

Opening her speech, Tsai stated that Taiwan is steadily becoming what she called “the world’s Taiwan.” She attributed the island's growing international profile to several factors: Taiwan’s central role in semiconductor production, its position in global supply chains, and its status as a democratic partner within a broader community.

She highlighted the strength of Taiwan’s industrial ecosystem, describing the island as not only a producer of advanced semiconductors, precision components and next-generation packaging technologies, but also home to numerous “hidden champions.”

These achievements, she emphasized, were not the result of any single government policy but of the cumulative effort of multiple generations of Taiwanese society and industry.

Navigating an era of global uncertainty

Tsai framed Taiwan’s future within a broader global environment she described as “highly uncertain and full of challenges.”

She cited multiple forces reshaping the international landscape: the restructuring of global supply chains, geopolitical tensions, shifts in US policy, evolving regional dynamics involving China, closer Europe–Indo-Pacific engagement, and the ongoing conflict in Iran.

Technological disruption, particularly artificial intelligence (AI), is also transforming industry and society while redefining national competitiveness and global rules, she noted.

Despite these uncertainties, Tsai said Taiwan has demonstrated a degree of economic resilience. Recent turbulence stemming from tensions in Iran, she noted, had a relatively limited domestic impact.

Taiwan’s fuel price increases were partly absorbed by the state-run oil company CPC, while the stock market rebounded quickly after an initial dip.

Such stability, she suggested, reflects structural strengths in Taiwan’s economic system and policy framework.

The importance of resilience

A central theme of Tsai’s address was resilience, which she described as the capacity for societies to remain rational and united under pressure.

She reflected on several major challenges Taiwan faced during her presidency, including the COVID-19 pandemic, the economic ripple effects of the Russia–Ukraine war and the restructuring of global supply chains.

Taiwan’s response to those crises compared favorably with that of many other countries, she said, thanks largely to collaboration between government, industry and civil society.

Tsai highlighted efforts during her administration to strengthen infrastructure resilience, particularly in energy systems, including the expansion of renewable energy and diversification of energy sources.

She also emphasized Taiwan’s commitment to maintaining democratic openness even amid mounting security pressures.

Despite increasing military pressure and “gray-zone” activities from China, Taiwan preserved its democratic institutions and kept restrictions on civil liberties to a minimum, she said.

“I have always followed one principle,” Tsai said. “When supported, do not act recklessly; when under pressure, do not give in.”

A call for national unity

Tsai warned that internal divisions could undermine Taiwan’s efforts to maintain regional peace and stability, urging political parties to cooperate on national security and social resilience despite partisan competition.

“Political parties can compete,” Tsai said, adding that when it comes to national security and resilience building, parties must put aside differences and work together.

She also addressed concerns about influence operations aimed at undermining Taiwanese society. While noting China’s attempts to infiltrate and influence Taiwan through non-military means, Tsai expressed optimism about the strength of Taiwan’s civic response.

Across different generations and communities, she said, citizens are increasingly participating in civil defense initiatives, emergency response and first aid training, as well as media literacy programs designed to counter misinformation.

To illustrate Taiwan’s journey, Tsai used the metaphor of mountain climbing, a familiar image in Taiwan’s mountainous landscape.

Starting the ascent is difficult and the path can be uncertain, she said, but steady progress in the right direction eventually reveals a broader and brighter view. 

“As long as we keep the right direction and maintain steady steps, our efforts accumulate,” Tsai said.

Taiwan has already overcome numerous challenges, she added, and the combined strength of corporate innovation and civic participation remains the island’s greatest asset.

She concluded that when people in Taiwan can set aside their differences and continue moving forward together, Taiwan will keep advancing.

AI transformation and Taiwan’s export boom

Other speakers at the summit focused on Taiwan’s economic future, particularly the transformative potential of AI. Former minister of science and technology Chen Liang-gee (陳良基) argued that AI development rests on two essential pillars — computing hardware and semiconductor chips — and that investment in AI accelerates both, creating a self-reinforcing cycle of technological advancement. He said that there is no sign of the trend slowing.

Chen added that Taiwan holds significant advantages in both pillars due to its dominant semiconductor industry and strong hardware manufacturing capabilities.

He also cautioned that AI’s rapid evolution could fundamentally reshape labor markets. Within a decade, he said, the majority of white-collar jobs could be replaced, while within two decades even a majority of blue-collar jobs might be affected.

He also predicted that human activity may increasingly shift into digital environments, noting that modern individuals already spend large portions of their lives interacting through smartphones rather than in physical spaces. As a result, Chen stressed the growing importance of Taiwan’s digital governance.

Former minister of economic affairs Wang Mei-hua (王美花) highlighted Taiwan’s recent export surge, attributing it largely to global demand for AI servers and advanced semiconductor chips produced by companies such as TSMC.

Electronics and information-communication technology products now account for roughly 75% of Taiwan’s exports, she noted, a sign of both the island’s technological strength and its industrial imbalance. Nevertheless, Wang described Taiwan as fortunate to sit at the center of the global AI hardware supply chain.

Comparing Taiwan with South Korea, she observed that although both economies have seen strong export growth and stock-market performance, Taiwan’s economic growth rate has surpassed its regional rival due largely to higher levels of investment.

The semiconductor ecosystem alone has generated broad industrial spillover effects, she said. The supply chain surrounding TSMC now includes more than a thousand companies, with domestic suppliers increasingly replacing foreign firms.

This shift is creating opportunities for small and medium-sized enterprises while spurring growth in equipment, materials and other supporting industries, Wang concluded.

A moment of opportunity for Taiwan

Echoing Tsai’s optimism, Wealth Magazine Chairman Hsieh Chin-ho (謝金河) offered a broader perspective, saying both Taiwan and Japan currently face a rare historical window of opportunity in economic and geopolitical terms.

Taiwan’s economic scale is often underestimated, he said, noting that the market capitalization of Taiwan’s stock market has already surpassed that of France, and should not be deemed as merely a “small nation.”

He also illustrated the wealth possessed by ordinary Taiwanese people through personal anecdotes, describing encounters with seemingly ordinary citizens — retirees or modest civil servants such as clerks at local government offices — who quietly hold substantial shares in TSMC.

Such stories, he said, reflect the depth of Taiwan’s capital markets and the widespread participation of its citizens in economic growth.