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Cabinet approves draft amendments to industrial innovation law

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The Executive Yuan on Thursday approved the Ministry of Economic Affairs' draft amendments to the Statute for Industrial Innovation. The proposed amendments will now be submitted to the Legislative Yuan for deliberation.

Premier Cho Jung-tai said that fostering innovative entrepreneurship is crucial to enhancing Taiwan's industrial competitiveness. To support industries' digital transformation and net-zero transition, the amendments propose extending the tax credit eligibility period until 2029 for businesses investing in new equipment or technologies. Additionally, to align with the latest trends in industry innovation, new provisions addressing artificial intelligence, energy saving and carbon reduction aim to accelerate the adoption of smart technologies and low-carbon business models across a broad range of industries.

The premier also pointed out that the draft amendments would lower investment thresholds for new startups, providing greater access to capital and helping more new businesses survive the most challenging phase of their initial growth. Other proposed amendments would adjust supervisory mechanisms for foreign investment to protect key domestic technologies, maintain Taiwan's industrial competitiveness and safeguard national economic and social security.

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