Taiwan's biggest industry group says a shrinking workforce is now the top threat to its factories, a warning sign for the island's manufacturers and its economy.

• A falling birth rate and aging population have left factories short of workers, with three quarters of member companies calling it their number one worry.
• The group wants the government to loosen migrant worker rules, let workers stay 14 years instead of 12, and recruit beyond Vietnam, Thailand and Indonesia.
• It also wants Taiwan to stop leaning so hard on imported energy, bring nuclear power back into the mix, and set clearer, steadier electricity prices.
• The Middle East conflict has made global energy prices swing wildly, which hits an island that buys almost all its fuel from abroad.
• Companies want carbon caps and emissions trading delayed to keep costs down, but want a carbon border fee on dirty imports sped up.

Outlook: Expect pressure on Taipei to open the door wider to migrant workers and rethink its nuclear phase-out, while AI-driven chipmakers pull further ahead of the older industries asking for help.