Taiwan’s small- and medium-sized businesses are calling on the government to map out a plan to help boost their competitiveness. That was the word from small- and medium-sized enterprise association head Lee Yu-chia on Thursday.
Lee was speaking after the National Development Council said that this year’s economic growth rate is likely to exceed 4%. The government agency made the prediction with the assumptions that Taiwan will grasp the opportunities presented by the reorganization of the global supply chain, and that funds will be funneled into infrastructure projects.
Lee said that while he is happy to see a rosy economic picture, he is not optimistic about the future of small- and medium-sized businesses. That’s because Taiwan’s economic growth is mostly driven by the high-tech industry, particularly semiconductors.
Lee said small- and medium-sized businesses such as micro-enterprises are facing several challenges and therefore must undergo upgrades and transformations. The challenges Lee cited include little profit, currency exchange rates, and the future impact of a free trade agreement called the Regional Comprehensive Economic Partnership.
