Investment in research and development by foreign businesses in Taiwan has exceeded NT$24 billion (US$786 million) so far this year, a new record for the period, Premier Su Tseng-chang (???) said on Thursday.
The figure amounted to an eight-fold increase compared with the same period in 2018, Cabinet spokesman Lo Ping-cheng (???) cited Su as saying after a meeting on Thursday with the Ministry of Economic Affairs (MOEA), which presented its report on attracting multinational corporations to set up R&D centers in Taiwan.
However, the exact period which the R&D investment covered was not specified.
According to the MOEA, about 30 international firms now maintain R&D centers in the country, including U.S.-based memory chipmaker Micron Technology Inc., German-based tech giant Merck Group, and NXP Semiconductors N.V., a global automotive semiconductor company from the Netherlands.
Investments in R&D by foreign businesses in the semiconductor sector in Taiwan have totaled NT$30 billion over the past five years, the ministry said in its report.
Moves in international supply chains following the trade war between the United States and China, the COVID-19 pandemic, and the Russian invasion of Ukraine have drastically disrupted the global supply chain, Su said.
He cited the openness and rule of law in Taiwan, its strategic position in the Asia-Pacific, the advanced state of the local semiconductor industry, and the availability of subsidies, talent, and tax concessions as elements attracting foreign interest in setting up R&D centers in Taiwan.
During the meeting, Lo said the premier also expressed excitement that more multinational firms have chosen to set up centers in southern Taiwan, such as Google with its data centers in Tainan and Yunlin County.
The investments by foreign firms help create high-quality employment opportunities across Taiwan, he said, and that as more companies choose to establish R&D centers in the country, other businesses in related sectors will also follow suit, thereby strengthening Taiwan’s supply chain resilience.
Source: Focus Taiwan News Channel