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Three programs to boost investment in Taiwan

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To lure back overseas capital for investment in Taiwan and speed the transformation of small and medium-sized enterprises (SMEs) through innovation and intelligence-based development, as well as push forward the nation's overall economic growth, the government in January 2019 began introducing a package of three major action plans aimed at drawing overseas investment by Taiwanese firms back to Taiwan, encouraging an acceleration of investment locally by domestic corporations, and promoting local investment by domestic SMEs. The three programs make available land, water and electricity to quality Taiwanese businesses, together with customized single-window treatment and specialized tax services. The government also covers the expense of bank service fees and encourages banks to provide necessary capital to promote investment.

As of June 2021, the three action plans have attracted 932 companies to invest a total of NT$1.2 trillion (US$42.8 billion) in Taiwan, creating over 100,000 job opportunities. It is estimated that by the end of 2021, total new investment will reach NT$1.5 trillion (US$53.5 billion), which will power NT$3.6 trillion (US$128.3 billion) in production value and generate 128,000 jobs.

Three initiatives

Action Plan for Welcoming Overseas Taiwanese Businesses to Return to Invest in Taiwan
Targets: This program is aimed at Taiwanese companies that have been operating in China for at least two years and have been hit by the U.S.-China trade war, and whose manufacturing production lines require smart components or systems.
Eligibility: A company meeting any of the following conditions qualifies for assistance: The enterprise is engaged in at least one of the "five plus two" innovative industries, is a manufacturer of high-value-added products and key components, occupies an important position in the global supply chain, sells in international markets under its own brand, or fulfills a major national industrial policy.


Program to help domestic corporations
Targets: This program assists non-SMEs that have not qualified for the Action Plan for Welcoming Overseas Taiwanese Businesses to Return to Invest in Taiwan.
Eligibility: For companies in the manufacturing sector, qualifying businesses must meet the same eligibility requirements as the Action Plan for Welcoming Overseas Taiwanese Businesses to Return to Invest in Taiwan, and have production lines that require smart components or systems. In the services sector, qualifying businesses must provide services that require intelligent processes, and must have investments supporting a major national industrial policy.


Plan to accelerate investment by SMEs
Targets: This initiative targets SMEs not covered under the Action Plan for Welcoming Overseas Taiwanese Businesses to Return to Invest in Taiwan.
Eligibility: Companies must meet the same eligibility requirements as for the program to help domestic corporations with no history of business activity in China.

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