Taiwan Today

Taiwan is working hand in hand with fellow Asia-Pacific Economic Cooperation member economies to advance sustainable and inclusive growth in the region.

Since joining the Asia-Pacific Economic Cooperation (APEC) in 1991, Taiwan has played an active role in fostering regional development. Between 2020 and the first half of 2023, the country launched a total of 47 APEC-sponsored initiatives, more than any other member. Chiou Chyuo-huey (邱求慧), director-general of the Department of Industrial Technology under the Ministry of Economic Affairs (MOEA), said the seven technological projects submitted under his agency’s auspices are more numerous than Taiwan’s greenlit initiatives in any other category, reflecting APEC’s recognition of the country’s high-tech prowess.

A delegation headed by Chiou attended the APEC Policy Partnership on Science, Technology and Innovation August 6-7 in Seattle. There, representatives from state-backed Industrial Technology Research Institute (ITRI) and Metal Industries Research and Development Centre, APEC Research Center for Advanced Biohydrogen Technology in central Taiwan’s Taichung City, and APEC Research Center for Typhoon and Society in Taipei City shared positive project outcomes.

Among presenters was Derek Luo (羅佐良), leader of ITRI’s capacity building project for supply chain connectivity. Co-sponsored by Chile, Indonesia, Malaysia and Thailand, the initiative is developing an intelligent cloud platform that allows manufacturers to connect different types of equipment, thus improving production efficiency and supply chain management.

“Manufacturing industries need to accelerate digital transformation to optimize operations, reduce costs and improve quality, all of which are necessary to gain a competitive edge in the global marketplace. We’re happy to help other APEC member economies implement the same changes,” Luo said. “Meanwhile, APEC provides a great opportunity for further international cooperation and expansion into new markets.” So far, more than 200 apps have been developed on the platform and used by over 1,000 entities, the project leader said, adding that a number of electric vehicle, footwear and textile companies in Malaysia, Thailand and Vietnam use or have expressed interest in adopting the cloud platform.

Continuous Contributions

For over 30 years, Taiwan has spearheaded and supported a wide spectrum of initiatives spanning digital innovation, disaster prevention, food security, health care, human resource development, information and communications technology (ICT), small and medium enterprises (SMEs), and women’s empowerment. Such ­undertakings have improved the livelihoods of people throughout the Asia-Pacific while raising the country’s profile on the world stage.

Every year Taiwan’s representatives attend approximately 150 APEC events at levels ranging from committees and working groups to leaders’ meetings, where they discuss matters of mutual concern and exchange ideas on best practices and policymaking. According to Jonathan C.Y. Sun (孫儉元), director-general of the Department of International Organizations under the Ministry of Foreign Affairs, APEC is one of the most important international organizations in which Taiwan has official membership. As a member, the country has unstintingly shared its experience and expertise, playing a proactive and beneficial role.

“Taiwan is more deeply involved in APEC than any other international organization, with over 60 public and private agencies participating in its various activities,” Sun said. “It’s a major platform for academics, entrepreneurs, government officials and nongovernmental organization personnel to interact with foreign counterparts, build relationships and explore prospective cooperation.”

As part of its involvement, Taiwan hosts a variety of annual events, including conferences, forums, seminars, training courses and workshops at home and abroad, with this year’s activities numbering 41. The country has also made several donations to support APEC’s economic, trade and technical initiatives since 2006. Last year it contributed a total of US$2.2 million to the APEC Policy Support Unit as well as funds for digital innovation, marine debris management and SME development. “Taiwan’s donations to APEC and project grants we receive from the organization create a virtuous cycle that enables sustainable value ­creation,” the director-general said. “They also prove the country’s proficiency in multilateral engagement.”

Future Focus

The APEC 2023 theme of Creating a Resilient and Sustainable Future for All, set by host economy the U.S., aims to build a more interconnected APEC region better equipped to handle current challenges. High on the agenda are digital trade, emergency preparedness, food security, health systems, SMEs and supply chain resilience. “Given the four concepts the U.S. has highlighted as priorities—digitalization, inclusion, resilience and sustainability—Taiwan is proposing plans and organizing activities that align with these goals while harnessing its ­competitive advantages in digital innovation, health care and SME development,” Sun said. According to the director- general, six project proposals endorsed in the first half of this year are all related to digitalization, including digital skill cultivation, digital health, emission-reducing digital business transformation and smart hospital solutions.

Eleven of Taiwan’s current APEC activities center on the same field. For example, the APEC Digital Innovation to Facilitate SMEs’ Green Transformation Forum, held by the MOEA’s Small and Medium Enterprise and Startup  Administration June 13-14 in Taipei, was designed to help businesses launch their own transformations, with experts from Indonesia, Malaysia, Peru, Thailand, Vietnam and the Philippines speaking at the event. The administration also hosted an exhibition on low-carbon lifestyles and circular innovation alongside the forum, inviting 28 domestic and foreign enterprises and startups to participate. Among them was Junmay Label Group, a leading manufacturer of jacquard ­fabrics and printed and woven labels based in southern Taiwan’s Tainan City. Its client base includes top global sportswear brands such as Adidas, Nike and Under Armour. “We attended the exhibition to promote our eco-friendly ­products like yarn made from coffee grounds and to show our support for green business models recommended by the government,” said Regional Manager Peter Lin (林右典). “It was a terrific chance to learn about other sustainable practices and increase our company’s visibility.”

Leadership Role

According to Chang Chien-yi (張建一), executive director of the APEC Study Center (ASC), Taiwan has long been an active contributor to APEC forums and subforums, and many of the country’s projects have had an agenda-setting influence. Case in point is the APEC Digital Opportunity Center project that ran from 2004 to 2014. Undertaken by Taipei-based Institute for Information Industry, the initiative helped bolster ICT capabilities and bridge the digital divide. “The APEC Putrajaya Vision 2040 targets digitalization and ­innovation as key economic drivers,” Chang said. “This demonstrates Taiwan’s ­capacity to guide priorities and develop related policies.”

Hosted by Taipei-headquartered Taiwan Institute of Economic Research, ASC coordinates APEC-related education, exchange, outreach and training programs. Chang, who is also president of the think tank, said the center analyzes the organization’s policy objectives and works closely with government entities to develop international programs to ­support them.

Since strengthening supply chain resilience is a 2023 target and semiconductors are an essential manufacturing component, Taiwan is deepening cooperation with APEC member economies such as Japan and the U.S. to ensure stable semiconductor supplies, Chang said. Food security has also become an increasing concern for many member economies due to rising food costs and price volatility, he added. In response, ITRI Central Region Campus in Nantou County proposed a capacity building project earlier this year to introduce agro-industrial technologies such as biochar and the bio-circular-green model to control crop diseases and improve yields, thus developing more robust and sustainable agricultural and food industries.

All in all, Taiwan’s extensive involvement in APEC results in win-win ­outcomes for everyone involved. As most APEC member economies are major trading partners for Taiwan, participating in the intergovernmental forum allows the country to gain insight into regional economic integration mechanisms like the Comprehensive and Progressive Agreement for Trans-Pacific Partnership and the Regional Comprehensive Economic Partnership while garnering support for its bids to join the free trade pacts.

“Many of Taiwan’s projects have been praised by fellow member economies for improving public welfare and making long-term positive impacts. At the same time, APEC participation allows us to expand into the international community and prove what we’re capable of,” Sun said. “Taiwan will continue to be a strong and reliable partner to APEC economies for the benefit of all.”

Write to Kelly Her at kher@mofa.gov.tw