Full text of President Lai's address on 2nd anniversary of taking office

Taipei, May 20 (CNA) President Lai Ching-te (賴清德) delivered an address marking the second anniversary of his presidency on Wednesday.

In the speech, Lai pledged to maintain peace and stability across the Taiwan Strait while strengthening defense capabilities, societal resilience, and cooperation with democratic partners to safeguard peace.

He also emphasized Taiwan's growing role as a global technology and innovation hub, and outlined measures to support economic growth, small businesses, healthcare and families.

The following is the full text of his speech:

30 Years of Direct Presidential Elections: Bravely Shaping Our Future

Vice President Bi-khim Hsiao, Secretary-General Pan Men-an, friends from the media here today, and my fellow citizens watching live at home or overseas out of your care for Taiwan: Good morning.

Today marks the second anniversary of my inauguration as president of the Republic of China. I am profoundly grateful to the people of our nation for granting me the opportunity to shoulder this responsibility for our country and to serve our citizens. When I took the oath of office here on this day two years ago, I pledged to all our citizens: I will observe the Constitution, faithfully perform my duties, promote the welfare of the people, safeguard the security of the State, and will in no way betray the people's trust. Over the past two years, not a single day has passed where this oath has left my heart, nor has there been a single moment where I have evaded this responsibility, even when the challenges became difficult.

This year also marks a highly significant historical milestone for Taiwan. Thirty years ago, in 1996, over 10 million of our people, undaunted by China's missile threats, courageously went to the polls. With a voter turnout of over 76 percent, we completed our first direct presidential election. This was the turning point at which the Republic of China (Taiwan) became fully democratized, reborn a new nation where sovereignty belongs to the people.

Over these past 30 years, the people of Taiwan have written their own democratic history, ballot by ballot. Through one peaceful transfer of power after another, we have proven within our society that our democracy is mature and irreversible. No matter how formidable the challenges, Taiwan will walk its own path with resolve, confidence, and dignity. We will engage with the world, and bravely shape our future.

However, our path these past two years has been far from easy to traverse. The global landscape is shifting rapidly. Authoritarian expansion, conflicts and wars, supply chain restructuring across industries, climate change, energy transition, and the AI wave are all continuously putting our nation's competitiveness and resilience to the test.

In addition, the ruling and opposition parties here at home hold different visions for our nation's direction. This has led to an unprecedented deadlock in our legislature, preventing national personnel appointments, budgets, and bills from moving forward smoothly. Taiwan therefore does not merely face a single challenge, but a comprehensive test of our ability to stand firm amidst change and continue to forge ahead despite our differences.

But I want all our citizens to know this: Taiwan has not backed down because of this. Taiwan is already forging onward.

Over the past two years, we have remained steadfast in several important matters:

First, we have remained steadfast in protecting our free and democratic way of life.

Democracy is the most important part of Taiwan's identity. It is not a gift that falls from the heavens; it was bravely fought for through the sacrifice and devotion of many generations. Thirty years ago, our people chose to determine our nation's direction through democracy; today, we must all the more use the power of democracy to determine what heights Taiwan will reach in the future.

Taiwan's future cannot be decided by forces outside our borders, nor can it be held hostage by fear, division, or short-term gain. Taiwan's future must be determined together by our 23 million people.

I know full well that in a democratic society, differing opinions are a certainty. The same is true for competition among the ruling and opposition parties. Yet, while parties may compete, the nation must not be divided. While our stances may differ, when it comes to protecting Taiwan, we must be on the same page. In the face of external threats, we must all unite to defend our bottom line, standing firm on the side of our nation's interests.

Second, we have remained steadfast in maintaining the status quo of peace and stability across the Taiwan Strait.

Maintaining peace and stability across the strait and preventing external forces from altering the status quo are our national strategic goals. Taiwan is a responsible member of the international community - not a destabilizer. Taiwan is willing to engage in healthy and orderly exchanges with China under the principles of parity and dignity. However, we firmly reject united front tactics that package unification as peace. History has taught us that peace cannot rely solely on goodwill, much less be built upon concessions or illusions. Peace depends on uniting to cultivate our national strength, demonstrating a clear national will, and cooperating closely with our global democratic partners. True peace can only be secured through strength.

Over 30 years of direct presidential elections, the people of Taiwan have proven to the world time and time again through our ballots that we cherish peace, but will not give up our freedom. We are willing to engage in dialogue, but will not accept subordination. We pursue stability, but will not sacrifice our sovereignty or our democratic way of life. This is Taiwan's bottom line, and this is where we definitively stand before the world.

Therefore, over these past two years, our government has continuously advanced national defense reforms, strengthened our asymmetric capabilities, enhanced whole-of-society defense resilience, and built a more comprehensive homeland security network. Defense reform involves more than updating weaponry; it encompasses the comprehensive reinforcement of personnel, training, logistics, institutions, and societal support.

We are increasing investment in defense because we are alert to threats that are greater than ever before - this is not to provoke, but to prevent war. We are enhancing our self-defense not to escalate conflict, but to protect our people. We are working with like-minded partners not to oppose anyone, but to uphold peace and stability across the Taiwan Strait and the Indo-Pacific.

The Legislative Yuan's failure to fully pass the draft act for the special defense budget will inevitably have a severe impact on the status quo of peace and stability across the Taiwan Strait. To rectify this, the government will introduce an alternative special act and utilize additional budgets alongside increases to our annual budget to pursue commercial procurement, commissioned projects, and international cooperation. We will also promote self-sufficiency in our national defense industry so that we can produce unmanned ground, marine, and aerial vehicles, thereby building smart and sustainable national defense capabilities.

My commitment to the people of Taiwan is to ensure that we are a nation with the strength to defend ourselves, as well as to maintain peace and stability across the Taiwan Strait. This is also the very resolve that we must demonstrate to the international community.

Not long ago, I stood aboard Taiwan's first indigenous submarine, Narwhal. What I saw was more than just a naval vessel; it was a major achievement in defense self-sufficiency, made possible by countless engineers and members of the armed forces who worked day and night and persevered under pressure. What Narwhal carries is Taiwan's courage to never bow under pressure, and our determination to build a more secure home for future generations with our own two hands.

I wish to express my highest respect to our men and women in the armed forces. Whether out at sea, in the sky, amid mountains, on outlying islands, or at any unseen post, what you protect is not just our borders and airspace - it is also the daily peace of mind of 23 million people. Our nation's security stems from your professionalism, discipline, sacrifices, and devotion. As commander-in-chief, I will continue to serve as the most steadfast support for our armed forces, ensuring that our service members receive better equipment, better training, and better care, in addition to the respect they rightly deserve from society.

Third, we have remained steadfast in developing our economy to make Taiwan more resilient, more competitive, and better able to care for our people.

Prosperity is the people's deepest aspiration. Over the past two years, amidst a changing global economic landscape, we have been actively improving the investment environment and implementing industrial innovation, upgrading, and transformation. We have also been promoting our national economic strategy of expanding global presence and marketing internationally from a solid base here in Taiwan. Already, Taiwan possesses key strengths in the global supply chains for semiconductors, AI, defense industries, security and surveillance, and next-generation communications, strengths which the world cannot afford to do without.

Taiwan is growing beyond its role as a manufacturing base into a base for innovation, and beyond its role as one link in the supply chain into a crucial and trustworthy partner in the democratic technology alliance.

We are now seeing results from this strategy. Our economic growth rate for the entire year last year was 8.68 percent, our CPI was 1.6 percent, our Gini coefficient has remained stable, our job numbers were the best in 15 years, and our GDP per capita surpassed that of Japan and South Korea.

In the first quarter of this year, Taiwan's economic growth rate was 13.69 percent, our highest single-quarter growth in 39 years. It is projected that the rate for the entire year will surpass 7 percent, for a total of NT$32 trillion, showing that Taiwan is already a major player in the global economy. These results are thanks to the concerted efforts of all our citizens, and to our brave and confident choice to embrace the rest of the world and reject reliance on a single market.

In these many years, I have not once forgotten the many hard-working people from every walk of life, in every corner of our society. I fully understand that good industrial performance means more than just statistics in a report, and that the economic growth of a nation is not meant to raise the positions of a select few. Economic performance must be felt by the people, and it must help more people find greater stability in their lives.

And so since I took office, we have actively expanded social investment and continued driving forward on several fronts: raising wages, cutting taxes, providing social housing support, upgrading long-term care, easing the burden of childcare costs, and investing in education. We also launched the Micro-, Small-, and Medium-sized Enterprise (MSME) Diversified Revitalization and Development Plan to help MSMEs, traditional industries, and the service sector introduce digital tools, carbon reduction technologies, and global market resources, so that transformation is not the privilege of a few, but an upgrade for the economy as a whole.

As an additional measure, I will propose a NT$100 billion acceleration plan to upgrade and transform MSMEs and traditional industries. In this way, the technology sector will drive the traditional industries, helping the nation's development further extend to all sectors and translate into better lives for every family, better prospects for the younger generation, and stronger support for workers, farmers, fishermen, the elderly, and the disadvantaged.

Boldly pursuing the future also means boldly confronting new challenges in demographics, healthcare, and social security. On the path toward a Healthy Taiwan, the government will continue to invest in health, improve the healthcare environment, strengthen the medical workforce, implement nurse-to-patient ratios across all three shifts, and advance smart healthcare and tiered care systems - so that medicine is not just about treating illness, but about ensuring a complete support system for every person, from birth and childhood, through adult working life and into old age. The sustainability of National Health Insurance and the resilience of our healthcare system are parts of national resilience. And caring for the health of our people is protecting the future of our nation.

As for the challenges posed by a declining birthrate, the government will in the coming days unveil a new population strategy for Taiwan, specifically in the area of family support. A key measure of which is a monthly allowance of NT$5,000 per child, from birth through age 18. We aim to provide support at every stage of life, from marriage and bearing and raising children, to family-friendly workplaces and housing for newlyweds and parents of young children, helping people balance work and family. With this, we are instilling young people with the confidence to marry, start families, and build happy, fulfilling lives.

In addressing climate and energy transition, we will keep moving forward pragmatically. Taiwan must ensure stable power supply while pursuing decarbonization; it must support industrial development while shouldering its responsibilities to each generation. As economic growth, the rise of AI, and high-performance computing drive ever greater demand for electricity, the government will pragmatically evaluate all energy options by drawing on scientific evidence, following due process of law, and engaging openly with society. This will ensure that energy security, industrial competitiveness, and environmental sustainability can be equally pursued. The transition will not happen overnight, but we must not waver in our path; reform never happens without pushback, but we must bear the responsibility all the same.

At the same time, the government will continue to enhance societal resilience. Disaster prevention and response, cybersecurity, transportation, energy, finance, food security, healthcare, mutual aid among communities, or civil defense training - each is a part of national security. In the modern world, security extends beyond the barracks. In fact, our hospitals, schools, banks, factories, ports, power grids, internet networks, and communities all contribute to security. The better prepared every part of society is, the stronger Taiwan becomes.

I especially want to tell our young people: The generation before you bravely opened up the doors of democracy for Taiwan 30 years ago; now, three decades after that, I hope that you can apply your creativity, expertise, and action to forge a future for the generation after you. As president, I will stand behind you. I will continue to invest in education, technology, culture, sports, and international exchange, so that young people can see the world without leaving Taiwan, and so that the world can see Taiwan through the creativity of our young people. Your courage is what keeps Taiwan moving forward.

On this occasion, I also wish to congratulate Taiwanese author Yang Shuang-zi (楊双子) and translator King Lin (金翎), whose novel Taiwan Travelogue has just won the International Booker Prize. Following their success at the National Book Awards of the United States, this marks another major literary triumph for them. This achievement is also a clear testament to the talent and capability of Taiwan's younger generation to make their mark on the world stage.

I also want to say to every hardworking citizen: The government knows the pressures you face; it knows that the results of reform must reach every family faster and in more tangible ways. I promise that the government will lay solid foundations, strengthen our institutions, and direct resources to where they are needed most, making Taiwan a place where people can live and work in peace and happiness.

Going forward, I will listen to the people with greater humility, pursue reform with firmer resolve, and take a steadier pace to safeguard this nation. I will lead my administration to keep Taiwan secure, the economy sound, people's lives well looked after, and Taiwan's place in the world as firm as ever, making Taiwan truly irreplaceable.

To conclude, I would like to share the following to encourage all our citizens:

Taiwan's strength is not in its population, but in the people's free will. It is not in the volume of our voices, but in the clarity of our values. It is not in the size of our territory, but in our unwavering commitment to walking the path forward.

Taiwan is a nation with good intentions. It is willing to bear responsibility, and it is a trustworthy partner of the world. On the path of democracy, Taiwan is a beacon showing the world the way forward.

Let us come together in solidarity to defend democracy, pursue peace, and create greater prosperity. Let us, with the confidence of 30 years of direct presidential elections, move forward with courage. And let us, this generation, do the hard work to ensure that the next generation has a Taiwan that is freer, fairer, more secure, and more hopeful. Thank you.

(full text provided by the Presidential Office)

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