“AI Action Cabinet 2.0” to Drive Reform Agenda

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The government’s new lineup reflects the Lai administration’s bid to match capable leaders with Taiwan’s most pressing policy challenges.

Taiwan’s political leadership announced a far-reaching Cabinet reshuffle on August 27, marking the most significant personnel change since President Lai Ching-te took office in May 2024. Sixteen senior positions across 10 agencies were affected, including the Ministries of Economic Affairs, Digital Affairs, and Health and Welfare, as well as the National Development Council (NDC).

Premier Cho Jung-tai cast the shake-up as an effort to sharpen the government’s execution efficiency after a string of political and economic blows, capped by the defeat of a nuclear power referendum earlier this month.

At the center of the reshuffle was the Ministry of Economic Affairs (MOEA), where Minister Kuo Jyh-huei stepped down due to health concerns. He was replaced by Kung Ming-hsin, a seasoned economic policymaker with previous stints as NDC Minister and Executive Yuan Secretary-General. Kung’s appointment highlights the administration’s focus on industrial policy and semiconductor competitiveness, fields where he has been a central player for years. To succeed him as Secretary-General, the government appointed Xavier Chang, formerly Deputy Secretary-General at the Presidential Office.

The NDC also received new leadership, with Academia Sinica economist Yeh Chun-hsien taking over from Paul Chin-ching Liu, who resigned for health reasons. At the Ministry of Digital Affairs, the new head will be Lin Yi-jing, promoted from Deputy Minister following the resignation of Huang Yennun. Joining him as Deputy Minister will be Isabel Hou, an attorney and AI policy expert from the Taiwan AI Academy.

Notably, the appointments of Kuo at the MOEA and Liu at the NDC diverged from past practice: both came not from long careers in government but from significant roles in the private or semi-private sector, signaling a preference for technocratic industry experience over bureaucratic seniority.

Health policy also came under new stewardship. Two-year Director-General of the National Health Insurance Administration Shih Chung-liang has replaced Chiu Tai-yuan as Minister of Health and Welfare, supported by former Centers for Disease Control head Chuang Jen-hsiang as Vice Minister. Meanwhile, Taiwan’s newly created Ministry of Sports will be led by Olympic badminton champion Lee Yang, symbolizing the government’s ambition to elevate sports development to the level of national policy.

Premier Cho has branded the new lineup as an “AI Action Cabinet 2.0,” designed to inject fresh momentum into digitalization, healthcare reform, and economic resilience. For industry and the international business community, the changes are viewed as an effort to bolster policy continuity while bringing in new expertise for strategically important portfolios. Kung’s return to the MOEA offers reassurance that the government will maintain its focus on energy security, supply chain resilience, and semiconductor competitiveness — issues of direct concern to multinational manufacturers and investors.

The appointments in digital affairs and health also highlight the administration’s intent to accelerate digitalization and address structural challenges in Taiwan’s healthcare system. Lin Yi-jing and Isabel Hou are expected to advance cybersecurity and anti-fraud measures, while Shih Chung-liang is well positioned to push forward reforms in health insurance and healthcare workforce sustainability. Collectively, the reshuffle signals the government’s ambition to align its leadership team with Taiwan’s long-term innovation and competitiveness agenda.

Meet the Officials

Xavier Chang | 張惇涵
Secretary-General of the Executive Yuan

Chang served as Deputy Secretary-General at the Presidential Office before his appointment as Secretary-General of the Executive Yuan. He brings administrative experience and continuity from the Presidential Office to the Executive Yuan’s top administrative role.

Chen Yi-hsin | 陳義信
Deputy Minister of the Council of Indigenous Peoples

Chen, a former professional baseball star, now serves as Deputy Minister of the Council of Indigenous Peoples. A prominent Indigenous figure, he combines public recognition with cultural insight to strengthen representation and advocacy for Indigenous affairs.

Lin Yi-jing | 林宜敬
Minister of Digital Affairs

Lin was promoted from Deputy Minister to head the Ministry of Digital Affairs following the resignation of Huang Yen-nun. He brings institutional knowledge and continuity to the ministry, which was established in 2022, and is positioned to drive initiatives in cybersecurity, digital infrastructure, and AI policy.

Isabel Hou | 侯宜秀
Deputy Minister of Digital Affairs

Hou is an attorney by training and previously served as Secretary-General of the Taiwan AI Academy Foundation. She brings expertise in digital policy, ethics, and AI governance, making her a strategic addition to the leadership of the Ministry of Digital Affairs.

Kung Ming-hsin | 龔明鑫
Minister of Economic Affairs

Kung holds a master’s degree in economics from National Taiwan University and a Ph.D. in Economics from National Chung Hsing University. He has served as Deputy Minister of the National Development Council, Deputy Minister of Economic Affairs, Minister without Portfolio, NDC Minister, and Secretary-General of the Executive Yuan.

Kung played a key role in conceiving initiatives such as the “5+2 Innovative Industries Plan” and the “Asia Silicon Valley Project.” Recognized for his ability to translate complex economic policies into clear terms and foster cross-ministerial coordination, Kung now oversees Taiwan’s semiconductor sector, export controls, and energy and industrial strategies.

Liu Kuo-wei | 劉國偉
Deputy Minister of Education

Liu was before his appointment a professor of Electronic Engineering at Ming Chuan University. He brings academic leadership and technical expertise to education policymaking, particularly in the areas of STEM and technology education.

Hsieh Yein-rui | 謝燕儒
Deputy Minister of Environment

Hsieh was promoted from Director at the Chemicals Administration within the Ministry of Environment. A specialized regulator, he strengthens the ministry’s leadership team with his expertise in chemical oversight and environmental governance.

Shih Chung-liang | 石崇良
Minister of Health and Welfare

Shih previously served as Director-General of the National Health Insurance Administration and as Deputy Minister of Health. A veteran health official with extensive experience in healthcare administration and insurance, he now oversees the ministry during a period of reforms and workforce challenges.

Chuang Jen-hsiang | 莊人祥
Deputy Minister of Health and Welfare

Chuang served as Director-General of the Centers for Disease Control before his promotion to Deputy Minister. He brings public health and disease control expertise into the ministry at a time when Taiwan’s healthcare system faces mounting pressures.

Yeh Chun-hsien | 葉俊顯
Minister of the National Development Council

Yeh was a research fellow at Academia Sinica’s Institute of Economics and has long been active as a government advisor. He played a central role in shaping Taiwan’s Covid-19 economic relief strategy and is known for his analytical rigor, as well as his focus on economic fairness and resource allocation. He is expected to guide Taiwan’s development strategy during a period of global uncertainty.

Lee Yang | 李洋
Minister of Sports

Born August 1995, Lee assumed the role of Sports Minister at age 30, becoming the youngest person ever to hold a cabinet position in Taiwan. Lee is an Olympic badminton gold medalist, having won titles in both Tokyo and Paris. He has been appointed the inaugural Minister of Sports ahead of the ministry’s launch on September 9, 2025. His transition from elite athlete to policymaker symbolizes the government’s intent to elevate sports development, infrastructure, and national athletic programs.