AI Basic Legislation Advances Through Initial Hearings
Taiwan's AI Bill Delay: Consequences for Global Competitiveness
The Executive Yuan in Taiwan has been accused of delaying the presentation of a version of the AI bill, causing concern among lawmakers and industry experts alike. The rapid evolution of AI technologies has complicated the legislative process, leading to a postponement from the initially planned enactment by the end of 2023.
The delay has several consequences for Taiwan's competitiveness in the global AI landscape.
Risks of Falling Behind
Taiwan risks falling behind in establishing a clear and effective legal framework for AI development and deployment, which can hamper innovation and foreign investment in its AI sector. Slow regulatory progress may undermine Taiwan’s ability to effectively govern emerging AI technologies, putting it at a disadvantage compared to countries that have enacted AI laws sooner and more comprehensively.
Threat to Critical Industries
As Taiwan possesses key tech industries such as semiconductor manufacturing, the inability to quickly legislate around AI could threaten its role and leadership in critical parts of the global AI supply chain. Regulatory uncertainty might deter collaboration and investment, potentially impacting Taiwan's position in these industries.
Weakened Positioning
This lag could weaken Taiwan’s positioning as a regional and global AI player, especially amid rising geopolitical and economic pressures from larger powers. It could impact both technological sovereignty and economic growth.
Unprepared Response
The Executive Yuan's responses to issues raised by committee members, such as labor rights, data sharing, child and youth protection, or preferential taxes, suggest it is ill-prepared. KMT Legislator Huang Chien-hao expressed concern over personal data protection on the execution level.
Political Impasse
The Cabinet has not presented its version of the AI bill despite pressure from opposition parties over the past six years. The draft bill of the AI fundamental act was unveiled by the administration of former president Tsai Ing-wen in 2019, but most provisions are yet to be determined through cross-caucus negotiations. A joint meeting of the Education and Culture Committee and Transportation Committee reviewed the bill but failed to reach a consensus on most provisions.
Initial Progress
The DPP government set 2017 as Taiwan's inaugural year for AI and put forward strategies for AI scientific research. Lawmakers completed an initial review of the "fundamental act of artificial intelligence" (AI). Only three provisions were passed with the title of the act determined at the meeting. The Executive Yuan's officials can only assist with personal data protection, as the responsible agency of the Personal Data Protection Act does not have authority beyond that.
Future Prospects
KMT Legislator Ko Chih-en stated that the establishment of the AI act would significantly increase Taiwan's competitiveness in the global AI landscape. KMT Legislator Ko Ju-chun expressed his discontent with the Ministry of Digital Affairs for not submitting the Executive Yuan's version of the bill. President William Lai proposed an AI action plan in 2017, and the Ministry of Digital Affairs did not submit a Cabinet version of the bill as of yesterday.
The foot-dragging by the Executive Yuan reflects the complexities of regulating rapidly changing AI technologies but has created a risk of reduced competitiveness and influence for Taiwan in the critical and fast-moving global AI sector.
The delay in presenting the AI bill by the Executive Yuan could hinder Taiwan's advancement in artificial-intelligence (AI) technologies, potentially jeopardizing its competitiveness in the global AI landscape due to a lack of a clear and effective legal framework.
Furthermore, the inability to swiftly legislate around AI could pose a threat to Taiwan's role in critical industries, such as semiconductor manufacturing, as regulatory uncertainty might deter collaboration and investment, affecting its position in these sectors.
