Taiwan indispensable to global AI development: President Lai

Taipei, June 2 (CNA) President Lai Ching-te (賴清德) said Tuesday at the opening of Computex Taipei that Taiwan has become indispensable to global AI development.

Lai said global tech giants had gathered in Taiwan for this year's Computex, with some announcing plans to continue investing in the country, demonstrating confidence in Taiwan's technological capabilities, industrial efficiency and democratic system.

Computex, which runs through Friday under the theme "AI Together," features a record-breaking 6,000-plus booths from 1,500 exhibitors representing 33 countries from the world, such as Nvidia Corp., Qualcomm Inc. and Intel Corp. More than 60,000 visitors have registered to attend the trade show.

Lai said the government welcomes investment from around the world by offering tax incentives, improving the investment environment and promoting a chip-based innovation program aimed at driving next-generation technological advances.

Lai added Taiwan will maintain peace and stability across the Taiwan Strait, describing the policy as the most responsible commitment to the global supply chain.

"The more the world needs AI, the more it needs a stable, trustworthy and responsible Taiwan," Lai said.

"When AI development enters its next stage, it will require collaboration among like-minded and reliable partners around the world," he added.

Lai said the world's confidence in Taiwan was reflected in the country's strong economic performance. Taiwan's economy expanded 14.55 percent in the first quarter, its highest quarterly growth rate in 48 years, driven by robust technology exports.

On Friday, the Directorate General of Budget, Accounting and Statistics raised its 2026 GDP growth forecast from 7.71 percent to 9.64 percent, the highest level in 16 years, and projected that Taiwan will be among the world's 20th-largest economies next year.

Amid growing optimism about Taiwan, Lai noted that the local stock market's capitalization rose to US$4.95 trillion in May, making it the world's fifth-largest market.

He said the achievement reflected the efforts of industries across the board and Taiwan's workforce, underscoring the country's critical role in global AI development.

Addressing concerns about electricity shortages, Lai said Taiwan's power supply would remain sufficient through 2032 despite rising demand from AI development.

He said the government would continue promoting its second phase of energy transformation to ensure a stable power supply.

The initiative, launched by the Cabinet in 2024, aims to increase natural gas-fired power generation, diversify renewable energy sources, and strengthen energy storage capacity and the nationwide power grid.

Concerns over Taiwan's power supply intensified after Nvidia Founder and CEO Jensen Huang (黃仁勳), who is attending this year's Computex, said last week that Taiwan would need more electricity to support future AI development.

In addition to ensuring adequate power, Lai said the government would provide sufficient water, land and talent resources to meet rapidly growing demand for AI infrastructure, computing capacity and semiconductors.

Lai said Taiwan would continue pursuing technological innovation, strengthening economic resilience and working with international partners in AI development.