Article 1

This Statute is enacted for the adaptation of adjusted supporting measures to industries,

enterprises and workers in response to the trends of trade liberalization so as to strengthen

their competitiveness and reduce or eliminate the impact of economic and trade treaties or

agreements signed with other countries.

When imported agricultural products or processed agricultural products are likely to damage

or have damaged domestic agriculture, priority shall be given to adjusted supporting

measures in accordance with Article 52 of the Agricultural Development Act.

Article 2

Terms to this Statute shall be defined as follows:

1.Industry: Refers to agricultural industry, heavy industry, service industry and other

industries.

2.Enterprise: Refers to a sole proprietorship, partnership, limited partnership or company that

is registered in accordance with the law.

3.Worker: Refers to a person who is hired by an employer to work for wages.

4.Trade liberalization: Refers to market access, streamlining, harmonization of laws, and

other measures for lowering or eliminating trade or investment restrictions imposed in

observing the obligations of economic and trade treaties or agreements with other countries.

5.Market access: Refers to lowering or eliminating entry barriers on customs duties, service

industry, or professional manpower in observing the obligations of economic and trade

treaties or agreements with other countries.  

Article 3

The competent authority under this Statute is the Ministry of Economic Affairs.

Matters under this Statute that are within the purview of other central competent authorities

shall be handled by such other authorities.

Article 4

In response to trade liberalization, each central competent authority shall adopt appropriate adjusted supporting measures for the following items:

1.Assisting enterprises in obtaining full information on trade liberalization incentives.

2.Assisting enterprises in revitalizing or reengineering operations;

3.Assisting enterprises in effectively exploiting market access, streamlining, harmonization of laws and other incentive measures concomitant with trade liberalization;

4.Assisting enterprises in developing overseas target markets;

5.Improving the infrastructures of industries;

6.Assisting industries in nurturing talents and passing down traditional skills;

7.Working with local governments to nurture development of industries and clusters with unique local features;

8.Other matters promoting the competitiveness of industries.

Article 5

Each central competent authority in charge of specific business may use its budgeted funds,

scientific technology development funds or infrastructure funds to subsidize or purchase

software and hardware facilities for research and development, inspection and testing, pilot

production and mass production for the common use of the industry.

Software and hardware facilities purchased with infrastructure funds of the preceding

Paragraph shall reach a certain scale, and fees for their use shall be collected and used for

their maintenance.

Regulations for determining the scope and scale for the software and hardware facilities of

the proceeding Paragraphs, the criteria for collecting user fees, operation and maintenance of

such software and hardware, and other related matters shall be prescribed by the competent

authority in consultation with relevant authorities concerned.  

Article 6

Each central competent authority in charge of specific business shall establish mechanisms

for monitoring the competiveness of the industries under their supervision so as to stay

informed of the industries' preparations in response to trade liberalization and the impact of

trade liberalization.

Article 7

Each central competent authority in charge of specific business may, in accordance with the

monitoring results of the preceding Article, provide appropriate adjusted support to designate

industries likely to be impacted by market access and need guidance, or have been impacted

and need enhanced guidance.

The designate industries pursuant to the preceding Paragraph shall be reviewed at least once

every three years.

The criteria for designating the industries of Paragraph 1, the content to related adjusted

supporting measures, and other related regulations shall be prescribed by each central

competent authority in charge of such business.

Article 8

Each central competent authority in charge of specific business shall provide consultation

services to assist enterprises in reducing or eliminating the impact of economic and trade

treaties or agreements with other countries. 

Article 9

Where small-and-medium enterprises offering products or services identical to or directly

competing against products or services that enjoy market access suffer impact to a certain

degree, beginning from six months after the obligation to open the market becomes effective

to the fifth anniversary of the date of completely fulfilling the undertakings under such

treaties or agreements, such enterprises may submit supporting documentation to request for

determination as damaged enterprises.

Requests under the preceding Paragraph shall be handled uniformly by the competent

authority. Where the content of the request concerns the duties of other central competent

authorities in charge of specific business, determination shall be subject to the decision of all

such other central competent authorities and the competent authority.

Where an enterprise is determined damaged , each central competent authority in charge of

such business shall assist the enterprise in formulating an recovery plan and help it change its

core business, transition to another industry, or exit from operations. Where an enterprise's

recovery plan is approved, each central competent authority in charge of the specific

business may provide it with certain subsidy to facilitate the implementation of the plan.

Eligibility for the request to determine damaged enterprises, required documents, application

procedure, criteria for determining the extent of the impact, criteria for reviewing recovery

plans of the preceding Paragraph, maximum amount of the subsidy, and regulations

governing other related matters shall be prescribed by the competent authority in

consultation with relevant authorities concerned. 

Article 10

Each central competent authority in charge of specific business may provide or assist

damaged enterprises in obtaining priority status with other competent authorities in receiving

guidance or low-interest loans other than those set forth in Paragraph 3 of the preceding

Article.

Article 11

During the implementation of their recovery plans, damaged enterprises shall accept the

visits and follow-up visits by each central competent authority in charge of the specific

business or the agencies (divisions) commissioned by such authority, and submit regular

progress reports as required by each central competent authority.

If a damaged enterprise is found to have received subsidy from each central competent

authority in charge of the specific business by providing false information, each central

competent authority may cancel such subsidy and recover the amount of the subsidy from the

enterprise.

If a damaged enterprise refuses to accept a visit or a follow-up visit, or fails to regularly

submit a progress report of Paragraph 1 for no just reason, each central competent authority

in charge of the specific business may notify the enterprise to make corrections; in the event

such violation is severe, [each central competent authority] may revoke the subsidy and

recover all or part of the subsidized amount.

Article 12

The Ministry of Labor shall provide appropriate adjusted supporting measures to workers

belonging to designate industries needing guidance or enhanced guidance pursuant to Article

7 or to workers belonging to damaged enterprises as determined under Article 9.

Workers belonging to an enterprise offering products or services identical to or directly

competing against products or services of market access which has not been determined

damaged  may, within the time limit set forth in Paragraph 1, Article 9, submit supporting

documents to the Ministry of Labor to request for determination as damaged workers, and

are applicable to the adjusted supporting measures of the preceding Paragraph.

Adjusted supporting measures of Paragraph 1, eligibility for the request to determine

damaged workers of the preceding Paragraph, required documents, application procedure,

and determination criteria, and regulations governing other related matters shall be

prescribed by the Ministry of Labor.

Article 13

In processing the determination of damaged enterprises or damaged workers of Article 9 or

Article 12, the competent authority or each central competent authority in charge of specific

business may ask for information or other necessary assistance from related authorities,

institutions, enterprises, or organizations.

The scope of the information and the types of the assistance of the preceding Paragraph, and

regulations governing other related matters shall be prescribed by the competent authority in

consultation with related authorities concerned.

Article 14

To assist industries, enterprises, and workers in response to trade liberalization, each central

competent authority in charge of specific business shall allocate funds to finance related

adjusted supporting measures, and the Executive Yuan shall establish an adjusted supporting

fund in response to trade liberalization.

Sources of the fund to the preceding Paragraph shall be the followings:

1.Appropriations from the central government's annual budget;

2.Appropriations from other special funds;

3.Donations from state-owned or private enterprises, or individuals;

4.Interest accrued on the fund;

5.Other related income.

The fund under Paragraph 1 shall be used for the following purposes:

1.Assist each central competent authority in charge of specific business in financing adjusted

supporting measures and in promoting industrial and enterprise development projects in

accordance with this Statute in response to trade liberation;

2.Subsidize damaged enterprises and provide subsidies for interest on related loans;

3.Otherwise as approved by the Executive Yuan.

Donations under subparagraph 3, Paragraph 2, once verified by the competent authority, may

be deductible from the total income of the current year in accordance with the Income Tax

Act.

Article 15

The Executive Yuan shall invite related authorities, scholars, experts, and representatives of

civil groups such as industry (labor) associations to provide consultation and assistance to

promote matters related to trade liberalization.

Article 16

The competent authority may establish or assist private sectors in establishing a one-stop

window to provide the following services:

1.Promote, explain and provide consultation on this Statute and other guidance policies and

measures in response to trade liberalization;

2.Accept applications and assist enterprises and workers in applying for determination as

damaged and drafting recovery plans, and handle other related matters;

3.Promote and assist enterprises in effectively applying incentive measures under economic

and trade treaties or agreements;

4.Regularly report to the competent authority the effects of implementing related adjusted

supporting measures;

5.Assist the competent authority in investigating industry and market situations;

6.Carry out other related matters as commissioned by the competent authority or the central

7.competent authorities in charge of specific businesses.

Article 17

The enforcement rules of this Statute shall be prescribed by the competent authority.

Article 18

This Statute shall come into force force from the date of promulgation.