3 Index of Economic Freedom released by the Heritage Foundation, Taiwan’s investment environment ranks fourth worldwide and second in Asia. The Department of Investment Services in Taiwan’s Ministry of Economic Affairs reports that transnational corporations continue to favor Taiwan as the premier location in Asia for establishing innovation centers or operational headquarters. Global firms like Air Products, ASML, Merck, Micron and TEL continue to increase their investment in Taiwan, which serves as a testament to the deep-seated confidence these companies have in Taiwan’s investment environment.
Reflecting the close and enduring relationship between Taiwanese and U.S. industries, the U.S. is the third largest source of inbound investment to Taiwan. According to Taiwan’s Department of Investment Services of Ministry of Economic Affairs, investments from the U.S. to Taiwan in 2022 totaled US$397.8 million. Notable projects include Air Products’ air separation units in Southern Taiwan which supply industrial gases to TSMC; Micron’s Center of Excellence for DRAM; the establishment of Entegris’ largest chip manufacturing facility; and Synopsys’ AI Chip Design Lab.
Taiwan’s national digitalization and net-zero initiatives will generate more investment opportunities for international firms. In 2022, Taiwan initiated the Compound Semiconductor Project which aims to expedite the development of key processing equipment for 8-inch wafers and advancing autonomous production of silicon carbide (SiC) powders and 8-inch SiC wafers. On the green energy front, Taiwan’s goal is to achieve 20 GW of accumulated installation capacity for solar photovoltaic energy equipment and 6.7 GW in wind power by 2025. These targets are projected to stimulate approximately NT$1.8 trillion in private investment. Taiwan also continues to champion and offer incentives for investment in biotechnology, medicine, next-generation vehicles and IoT sectors. We encourage more U.S. businesses to consider these investment opportunities.
For more information, please visit the U.S. Department of State’s Investment Climate Statement website.