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If you have any questions, please dial +886-2-2311-2031. Stay on this page Understand, Continue to the website. Approved FDI projects 979 Accumulated from January to May 2026 74490 Accumulated since 1952 Total amount of FDI inflows (US$ million) US$ 8433.161 Accumulated from January to May 2026 US$ 246993.892 Accumulated since 1952 Previous Next Investment Advantages Incentive Policies Key Industries Application Government Resources One-stop Window Strategic Economic Hub in Asia Pacific An Asia-Pacific Logistics Hub connecting Northeast and Southeast Asia. Fly in an average of just 2 hours 55 minutes from Taipei to six major cities in the western Pacific: Tokyo, Seoul, Beijing, Shanghai, Hong Kong and Singapore. Ship goods in an average of just 53 hours from the Port of Kaohsiung to five major ports in the region: Manila, Singapore, Hong Kong, Shanghai and Tokyo. Outstanding International Rankings Ranked 4th in World Competitiveness (International Institute for Management Development (IMD) 2026) Ranked 5th among the 184 economies in the "2026 Index of Economic Freedom." Ranked 17th globally in the IMD World Talent Ranking 2025 Strong Industrial Clusters A comprehensive upstream, midstream, and downstream supply chain rapidly supports all customer demand and provides customized components. Rapid development of industrial clusters makes Taiwan the second largest producer of IT hardware equipment, the first foundry and packaging & testing industries, and the first pc products in the world. High-quality Human Resources Ranked 10th in total R&D personnel per capita in the IMD World Digital Competitiveness Ranking 2025. Ranked 17th globally in the IMD World Talent Ranking 2025. Comprehensive IP Protection Robust IP Regime The Commercial Case Adjudication Act and the Intellectual Property and Commercial Court Organization Act came into effect on July 1, 2021, appointing professional judges and inspection officers to resolve commercial disputes. Patent Prosecution Highway (PPH) with a number of countries Signed PPH agreements with the patent offices of US, Japan, Korea, the Netherlands, and Spain to accelerate patent examination. Intellectual Property and Commercial Courts Intellectual Property Rights Police (IPRP) Globally Recognized Economic Freedom Taiwan’s IP regime is internationally recognized. In 2026, Taiwan achieved a rank of #5 among 184 economies in the Global Economic Freedom Index published by the US Heritage Foundation - our best ranking yet. Comprehensive Infrastructure Ranked 1st in the IMD World Digital Competitiveness Ranking 2025, the “ratio of IT and media stock market capitalization to GDP” continues to top the list. A comprehensive transportation network with advanced railways, roads, and urban mass rapid transportation to create a one-day living circle. Nearly 100% availability of water, electricity, and telecommunication facilities. Abundant Capacity for Innovation Ranked 25th in the Global Startup Ecosystem Index Report 2025 published by the international startup research center StartupBlink. Friendly and Comfortable Living Environment A subtropical country with stable weather conditions in all seasons and offers great medical services and convenient consumer access. Ranked 3rd as best destination in the world for expatriates for three consecutive years with over 90% satisfaction rate for safety, healthcare, affordability, and friendliness of the people in the "Expat Insider 2023" survey. Tax Incentives R&D tax credits Entitled to a deduction from their profit-seeking enterprise income tax for expenditures in highly innovative R&D activities. No import duties for machinery and instruments not produced in Taiwan Entitled to zero import duties when importing machinery and instruments that are not produced in Taiwan. Tax incentives for companies that introduce key technologies Introduce new production technologies or products from overseas or use patents, trademarks, or other special permits owned by foreign profit-seeking enterprises may be applied toward income tax exemptions. Tax incentives for corporate investment in smart machinery and 5G Entitled to a deduction from their profit-seeking enterprise income tax when investing in brand-new smart machinery or introduce brand-new 5G hardware, software, or technical services for the companies' own use. Tax incentives for use of undistributed earnings for substantive investments Within three years from the year after an enterprise has recorded a surplus on its operations, if the surplus is used to construct or purchase buildings, software and hardware equipment or technology that the enterprise uses for its own production or business activities, and if the money thus spent equals or exceeds a certain amount, then the enterprise can classify this amount as a deduction to its undistributed surplus for the year, and will be exempt from paying business income tax on it. Tax incentives for stock obtained in exchange for technology Where a company assigns or grants a license to use intellectual property rights generated by its own R&D results, the company may opt to exclude the new shares acquired as the consideration from its taxable income in the year such shares are acquired. However, the amount is limited to NT$5 million for the entire year. In addition, shareholders that hold shares for at least 2 years and meet related criteria are eligible to be taxed based on "acquisition price" or "transfer price," whichever is lower. Tax incentives for stock-based employee compensation Employees may opt to exclude the amount from annual taxable income for the current year after acquiring stock-based employee compensation. In addition, shareholders that hold shares for at least 2 years and meet related criteria are eligible to be taxed based on "acquisition price" or "transfer price," whichever is lower. Tax incentives for specific professional foreign talents Specific professional foreign talents that meet certain criteria are entitled to a 50% deduction of total income tax for amounts exceeding NT$3 million. Biotechnology and pharmaceuticals industry Engage in R&D and manufacturing of new animal and botanical drugs, high-risk medical devices, or new biotech and pharmaceutical products are eligible for related tax incentives for R&D, talent development, investments and technology invested as capital stock. Promotion of private participation in infrastructure projects Taiwan government provides companies participating in infrastructure projects with tax breaks on profit-seeking enterprise income tax, import duties, land value tax/house tax/deed tax, and shareholder investment tax credits. Related links Industrial Development Administration, Ministry of Economic Affairs link websi…