TAIPEI (Taiwan News) — Changhua County launched Friday a NT$380 million (US$12.08 million) subsidy program to help small- and medium-sized enterprises upgrade their operations.

Changhua County Magistrate Wang Huei-mei (王惠美) said Changhua has many SMEs but faces limits for electricity, labor, and land, per UDN. She said the program will help traditional industries adopt AI and Internet of Things technology and upgrade to automated and high-efficiency equipment.

The focus is on practical factory improvements, aiming to boost productivity and competitiveness, Wang explained.

Changhua County Industrial Association Chair Chen Shih-hsiao (陳世曉) said traditional industries face pressure from US tariffs and global uncertainty. He called for more direct tax breaks or subsidies to support automation upgrades.

The county’s Department of Economic and Renewable Energy said eligible applicants include general factories or registered factories. Each factory can receive up to NT$2 million, depending on the subsidy type.

General factories may apply for loan interest subsidies of up to NT$100,000 and carbon inventory services capped at NT$100,000. They can also receive up to 49% of costs for low-carbon smart equipment, capped at NT$1.5 million, and smart energy storage systems, capped at NT$2 million.