The Regulation is enacted in accordance with paragraph 3 of article 17 of the Total Defense Mobilization Preparatory Act.

The execution matters for Production Switching Practice for Defense Industry (hereinafter referred to as the Production Switching Practice) shall be done according to this Regulation. However, if this Regulation is not specified, they shall be applied to the other regulations, as well.

All the contracted factories to coordinate with the Production Switching Practice are referred to as Mobilization Factories; they shall be selected by the joint conference between the Ministry of National Defense and the Ministry of Economics, or among the ministries related to the said affairs.

The competent authority of the Production Switching Practice is the Ministry of National Defense; it shall be responsible for the synthetic planning, management, job assignment, instruction and supervision as well.

Each competent authority for the mobilization preparatory classification schemes, municipality city, and county government, shall investigate all the information concerning the military products production capacity of mobilization factories within its own authority, and provide support and assistance for Production Switching Practice.

The mobilization factory is the executing unit for Production Switching Practice, and it is responsible for executing the duty of produce military products specified.

Before joining to the Production Switching Practice, the entire participation agencies (units) shall accomplish the following matters:
1.The investigation of production capacity for each mobilization factory.
2.The organization of production system for each mobilization factory.
3.Signing of production switching contract with mobilization factory.
4.The preparation of blueprint, pattern, template and production description.
5.The counseling guidance for development of production capability for military products.
6.All the investigation and coordination concerning the requirement of raw materials for mobilization production.

The Conference of National Defense Ministry, Economics Ministry and the Military, Public, Private Industries Harmonizing Development shall coordinate with related agencies to investigate all the fundamental information of variation conditions on the machinery equipment, storage capacity, technician employee, raw material situation, and production capacity for each mobilization factories per year.

The mobilization factories shall be differentiated into core factory and satellite factory.
The satellite factory is defined as the factory equipped with production capability to produce military weapon facilities, combinations, parts and accessories, and it is recognized as a well-established, qualified factory examined in accordance with certain terms and conditions.
The core factory is referred to as the mother unit for the satellite factories mentioned above, in other words, the satellite factory can be regarded as the extension of the production lines for core factory. Both factories form an upstream and downstream production system.
The Ministry of National Defense shall assign satellite factory and core factory to form a production system of mobilization factory according to its production connection.
Under the situation of not a suitable core factory exists, the Ministry of National Defense may appoint its affiliate agency (unit) as the control unit of production system for mobilization factory.

The mobilization factory shall make a production switching project pursuant to the production switching contracts signed, and offer to the following agencies for approval:
1.The production switching project of core factory shall be submitted to the competent authority for approval, or submitted to the competent authority for reference after the approval got from the agency authorized by the competent authority.
2.The production switching project of satellite factory shall be approved by its core factory or the controlling units.

When all the mobilization factories switch their military products according to the project mentioned above; all the required blueprint, pattern, and template and production description shall be prepared by the unit assigned by the Ministry of National Defense beforehand.

The counseling guidance for development of production capability for military products shall cover the following:
1.Promote the technical cooperation among military, public, private owned factories and mobilization factories.
2.Assist and guide lecture or interview with mobilization factories.
3.Utilize technology ability of military factory to guide the mobilization factories to produce military products.

When executing production switching practice for mobilization factories, all the investigations for required raw materials and factory shall be done pursuant to the related regulations of Materials and Workforce Investigation.

When executing production switching practice, the competent authority shall take care of the following:
1.Verify the production switching and mobilization order.
2.Supervise and monitor the production switching practice for mobilization factories
3.All the other instruction, management, inhibition and forbidden matters concerning the production of mobilization factories.

The related working rules to this Regulation shall be enacted by the joint conference of the Ministry of National Defense and the Ministry of Economics, or by the ministries related to the said affairs.

The Regulations will be put into practice from the promulgation date.