Taiwan’s Government Advances AI Strategy
The government of Taiwan has adopted a proactive approach to support the AI industry, promoting industrial development through policy measures and corresponding legal frameworks. In the latter half of 2024, the National Science and Technology Council (NSTC) introduced the draft AI Basic Act, which was submitted to the Executive Yuan (Taiwan’s cabinet) for review in early 2025.
In parallel, Taiwan has amended laws to address AI-driven fraud, deepfake activities and election manipulation. The government also plans to enact new legislation on data governance and open data to address the data-driven characteristics of AI.
AI Government Policies
Taiwan’s government actively supports the development of professional AI chips, AI hardware, and large-scale language models to promote the comprehensive growth of AI research and applications. Meanwhile, the manufacturing, finance, healthcare, agriculture and retail sectors are encouraged to integrate AI for digital transformation. These are the measures:
- Education and talent development. The Ministry of Education launched the Befriended with AI education programme to boost AI literacy at the compulsory education level. Universities and industry partners are collaborating to cultivate specialised AI and interdisciplinary talents, enhancing overall R&D capacity.
- AI chip technology and vertical applications. Leveraging Taiwan’s competitive advantage in semiconductors and ICT hardware, the AI on Chip Taiwan Alliance supports the development of cutting-edge AI chip technology and its industry-specific applications.
- AI computing and localised large-language model development. The National Centre for High-Performance Computing collaborated with private sector actors to develop TAIWANIA 2, a supercomputer dedicated to AI.
Using the TAIWANIA 2 supercomputer, the National Applied Research Laboratories launched TAIDE, a large-scale localised language model tailored to Taiwanese data. TAIDE uses public data (including judgments, Constitutional Court interpretations and other court decisions from Taiwan’s Judicial Yuan) to refine traditional Chinese-language models. The model supports languages such as Taiwanese and Hakka. It aims to integrate AI into the agriculture, education and automation industries.
The Ministry of Digital Affairs (MODA), in cooperation with the National Institute of Cyber Security and the Industrial Technology Research Institute, has established the Artificial Intelligence Evaluation Centre. This centre will establish certification mechanisms and guidelines for AI products, as well as systems to ensure safer and more interpretable AI applications.
Legal Responses to AI Challenges
Despite rapid advances in AI technology, legal challenges remain. The Legislative Yuan is prioritising cases where AI or deepfake technology is used for fraudulent or election manipulation purposes. Meanwhile, MODA is drafting and revising legal frameworks for data governance. The NSTC’s draft AI Basic Act is intended to lay the groundwork for interagency collaboration and unified regulation of AI.
- Prevent fraud and regulate deepfakes. AI can be weaponised to spread false information or commit fraud. To address these risks, the government has adopted a strategy to use AI to combat AI fraud. The National Institute of Cyber Security uses AI algorithms to detect bot accounts and suspicious advertisements, facilitating rapid blocking and removal actions.
Recognising that deepfakes or other synthetic technologies can compromise election integrity and facilitate money laundering or fraud, relevant amendments have been made to the Criminal Code, the Fraud Crime Hazard Prevention Act, the Public Officials Election and Recall Act, the Presidential and Vice Presidential Election and Recall Act, and the Money Laundering Control Act. These amendments establish criminal liability for disseminating false information or committing crimes using deepfake technology. They also require online advertising platforms to disclose instances where such technology is employed.
Conclusion
Taiwan plays a critical role in the global AI landscape with its advanced and robust ICT and semiconductor industries, as well as expertise in server manufacturing. These achievements exemplify the nation’s industrial resilience and technological depth while highlighting the government’s effective policymaking, from nurturing AI talent and fostering industrial innovation to refining AI laws. Taiwan is diligently building a comprehensive policy and legal framework around AI, demonstrating its commitment and efficacy as it advances into the AI era.
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