Taiwan should seek trade and economic cooperation with fellow democracies rather than China, President Lai Ching-te said on Tuesday, as his government set out plans to deepen collaboration with the United States in areas such as artificial intelligence and critical minerals.
Lai’s comments came as senior Taiwanese and U.S. officials last week discussed closer cooperation on artificial intelligence, technology and drones at a high level forum first launched during the initial term of former U.S. President Donald Trump. The U.S. State Department has described Taiwan as a vital partner.
Cooperation With Democratic Partners
At the forum, the two sides signed statements on economic security cooperation and on the Pax Silica Declaration, a U.S. led initiative designed to strengthen artificial intelligence and semiconductor supply chains. The move reflects growing competition with Beijing, which claims Taiwan as its own territory.
Speaking at a news conference at the presidential office on the U.S. Taiwan Economic Prosperity Partnership Dialogue, Lai praised the outcome of the talks and said Taiwan was moving in the right direction.
“Taiwan is on the right economic path and is striding confidently onto the world stage,” he said. “Taiwan has both the capability and the confidence to work with its democratic partners to lead the next generation of prosperity.”
Contrast With Opposition Engagement With China
Lai spoke as Hsiao Hsu-tsen, deputy chairman of Taiwan’s main opposition Kuomintang party, was visiting Beijing for a think tank exchange with China’s Communist Party. The discussions were described as focusing on non political topics such as artificial intelligence and tourism.
Lai said Taiwan’s opposition parties were entitled to their own views, but he contrasted economic outcomes under different administrations. He pointed to slower economic growth during the previous Kuomintang government, which signed a landmark trade agreement with China, compared with faster growth since the Democratic Progressive Party took office in 2016.
“Do we want to continue collaborating with the United States, Japan, Europe and other allied nations, or again lock ourselves into China?” Lai asked.
There was no immediate response from the Kuomintang to Lai’s remarks. However, Hsiao said at the opening of the forum in Beijing that peaceful development served the interests of both sides of the Taiwan Strait, according to a party readout.
“We should cooperate across the Taiwan Strait to earn money from the world, rather than oppose each other and let foreign countries reap the benefits,” Hsiao said.
Relations With Beijing Remain Strained
China refuses to engage with Lai, branding him a separatist. Lai has consistently rejected that label and said only Taiwan’s people have the right to decide the island’s future.
Speaking to reporters on Tuesday, Lai reiterated his offer to hold talks with Beijing, provided discussions are conducted on the basis of parity and equality. He said Taiwan remained open to dialogue, but stressed that economic and political decisions should reflect the will of its democratic society.
The remarks underline the sharp contrast between the governing party’s emphasis on closer ties with democratic partners and the opposition’s call for engagement with China, as Taiwan navigates rising geopolitical and economic pressures.
With inputs from Reuters





