NSTC proposes record high technology development budget

Taipei, July 17 (CNA) The National Science and Technology Council (NSTC) on Wednesday proposed a record high annual budget of NT$159.6 billion (US$4.9 billion) for 2025 to bolster technological development in Taiwan.

The NSTC made public the budget agreed by its committee (comprised of eight ministerial-level heads, academics, and industry representatives), with a total of NT$159.6 billion. This represented a 15 percent rise from 2023 and a 1.6 percent increase from 2024.

NSTC head Wu Cheng-wen (吳誠文) said the budget is intended to implement what President Lai Ching-te (賴清德) envisioned in his inaugural speech, namely transforming Taiwan into an artificial intelligence (AI) island.

Helping industries make digital and net-zero transitions, balancing the country's development, strengthening communication resilience and developing smart medical services are among the focuses of the AI-centered plan, Wu said.

"The aim is to solve social needs and problems with new technologies, based on Taiwan's existing advantages in semiconductor and information and communication technologies (ICT)," said Yang Chia-lin (楊佳玲), executive secretary of the NSTC Office of Science and Technology Policy.

Other than the "Five Trusted Industry Sectors" underlined by the president, namely semiconductors, AI, military, security and surveillance, and next-generation communications (6G and communication satellites), Yang noted that other areas to receive heavily investment include net-zero technologies, support for small and medium-sized enterprises and startups, and smart health.

The rough budget allocation -- for certain key sectors -- is NT$20 billion for semiconductors, NT$10 billion for AI, NT$9 billion for space and communications, and around NT$12 billion for net-zero technologies, Yang said, adding that these figures do not include investment in foundational research conducted by academia.

The budget proposal still has to be approved by the Executive Yuan.