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Premier talks Industry 4.0 with business leaders

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Premier Mao Chi-kuo today told business leaders in central Taiwan that the government is working on "Industry 4.0" policies that will help transform and upgrade industries.

At a business luncheon held by the Taiwan-based Chinese National Association of Industry and Commerce, Mao said central Taiwan is an important hub for mechanical, electrical and other "hidden champion" industries. The government has devoted many years and much effort to raising that region's industrial competitiveness.

Former Premier Sean Chen's "backbone enterprises" program, for instance, provides customized guidance for different industries to help them upgrade key technologies and build complete value chains. After three years, central Taiwan is seeing solid results, and the government will continue promoting the program as it enters the second phase.

In the coming years, Taiwan will suffer a dwindling labor supply as the population ages and fewer children are born, Mao said. Easing immigration restrictions will not necessarily solve the problem, which makes it more important than ever to computerize manufacturing processes and promote the fourth industrial revolution.

The premier added that central Taiwan's machine tool industry is a key element in the transformation of Taiwan's industries. To push forward Industry 4.0, the government will speak to the business community about ways of achieving technological breakthroughs, building industry supply chains and upgrading businesses. Input from central Taiwan's business leaders will serve as valuable reference for making policies.

Responding to a question about water resources, Premier Mao said he hopes more industries will use recycled wastewater—including from non-industrial sectors—to reduce the amount of water consumed. The government will also endeavor to lower the water leakage rate, promote water-saving equipment and make water conservation the norm in Taiwan. The water resources problem can only be resolved if public and private sectors work hand in hand, he said.

As for electricity supply, the Executive Yuan has mapped out action plans based on the national energy conference's resolutions on electricity conservation, Premier Mao said. These plans include pushing all sectors to cut energy use by 1 percent annually, encouraging local governments to set up specific goals and projects for each locale, and awarding the top-performing cities and counties. Government data on Taiwan's energy shortage risks will also be shared openly to facilitate public discourse on energy issues.

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