TAIPEI (Taiwan News) — Taiwan is stronger than ever but faces unprecedented challenges, Deputy Foreign Minister Wu Chih-chung (吳志中) said in an interview with Germany’s Frankfurter Allgemeine Zeitung.

Wu said Taiwan is working with democratic partners to address regional risks, leveraging its democratic system and technological innovation, per CNA.

Taiwan’s economy reached NT$24.5 trillion (US$800 billion) last year, making it the US’ seventh-largest trading partner, Wu noted. “Taiwan has never been stronger, but has also never faced so many challenges,” he said.

Economic reliance on China has steadily declined, with only 7% of Taiwan’s outbound investment going there last year. Nearly half of overseas investment went to the US, reflecting deepening bilateral economic and technological ties.

Wu warned that authoritarian powers are trying to reshape the international order through force, citing the Russia-Ukraine war and recent appearances of Chinese leader Xi Jinping, North Korean leader Kim Jong Un, and Russian president Vladimir Putin together.

Taiwan maintains deterrence through its “Not Today Policy,” targeting 5% of GDP by 2030, Wu explained. This also includes a stronger US and European military presence in the Indo-Pacific and international support for participation in global organizations.

Meanwhile, TSMC factories in the US, Japan, and Germany have expanded Taiwan’s protective network. Cooperation with Germany, including the European Semiconductor Manufacturing Company in Dresden, is a technical and diplomatic milestone, he said.