Beijing (CNN) Taiwan President Tsai Ing-wen on Friday appointed a senior figure from her pro-independence ruling party as the island's new Premier amid growing tensions with China.

Su Tseng-chang, 71, a former chairman of the Democratic Progressive Party (DPP), was chosen to replace William Lai after the party suffered a bruising defeat in local elections last November

Lai formally resigned earlier Friday, along with the entire Cabinet, taking responsibility for the party's losses. Tsai also resigned as DPP leader following the elections, though she remains president.

"Premier Su has three strengths that Taiwan needs at the moment: experience, vigor and the ability to execute (policies)," she said in a speech at the Presidential Palace Friday.

I thank Premier Lai as he took the baton from Premier Lin & laid a solid foundation for #Taiwan's economy. I understand and respect his decision to resign. Today I appointed Su Tseng-chang as new premier & look forward to working with him to better this country! pic.twitter.com/UOE7ikf1wv — 蔡英文 Tsai Ing-wen (@iingwen) January 11, 2019

Tsai is facing mounting pressure both at home -- where her progressive reform agenda has faced setbacks -- and from across the Taiwan Strait.

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