Taiwanese Premier Su Tseng-chang on Saturday said he will resign, days after his rival won a primary to become the ruling party's presidential candidate.
Su heads the Cabinet and is responsible for winning legislative support of key government policies.
"This will be President Chen Shui-bian's last year in office and he may want to make changes to cope with the new situation," Su told a news conference.
"I'm willing to cooperate, and have reported this to him. He also gave his initial approval," he said.