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Taiwan Investment Environment June 2015 Department of Investment Services Ministry of Economic Affairs

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Page 1: Taiwan Investment Environment June 2015 Department of Investment Services Ministry of Economic Affairs

Taiwan Investment Environment

June 2015

Department of Investment ServicesMinistry of Economic Affairs

Page 2: Taiwan Investment Environment June 2015 Department of Investment Services Ministry of Economic Affairs

Index

I. Economic Development

II. Foreign Investment

III. Investment Environment

IV. Investment Incentives

V. Industrial Development and

Investment Opportunities

VI. Investment Services

2

Page 3: Taiwan Investment Environment June 2015 Department of Investment Services Ministry of Economic Affairs

Land 36,192 km2

Population 23,462,517 (2014/12)

GDP US$535.5 billion (2014)

Per-capita Income

US$22,823 (2014)

Economic Growth Rate

3.74% (2014);

3.78% (2015/est.)

Unemployment Rate

3.62% (2015/5)

Inflation 1.20% (2014)

Forex Reserves US$418.96 billion (2015/05)

I. Economic Development Major Economic Indicators

3

Page 4: Taiwan Investment Environment June 2015 Department of Investment Services Ministry of Economic Affairs

II. Foreign Investment in Taiwan Foreign Investment in the Past 10 Years

Source: Investment Commission, MOEA

4

3.58 3.95 4.23

13.97

15.36

8.23

4.80 3.81

4.96 5.56

4.93

5.77 1,078 1,149 1,131

1,846

2,267

1,845 1,711

2,042

2,283

2,738

3,206

3,577

0

500

1,000

1,500

2,000

2,500

3,000

3,500

4,000

0

2

4

6

8

10

12

14

16

18

2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014

Amount (US$billion)

Cases

Page 5: Taiwan Investment Environment June 2015 Department of Investment Services Ministry of Economic Affairs

Foreign Investment by Country, 1952~2014

Country Amount

(US$100mil)

Ratio% Cases Ratio%

British Possessions in the Caribbean

242.22 18.33 5,656 14.24

United States 234.99 17.78 5,586 14.07

Holland 207.03 15.67 565 1.42

Japan 182.69 13.82 8,616 21.70

Singapore 77.48 5.86 1,957 4.93

UK 72.12 5.46 791 1.99

Hong Kong 69.03 5.22 4,907 12.36

Samoa 35.61 2.69 1,792 4.51

Malaysia 27.64 2.09 1,456 3.67

Germany 26.02 1.97 686 1.73

Bermuda 21.41 1.62 114 0.29

Australia 17.19 1.30 403 1.01

5

Source: Investment Commission, MOEA

Page 6: Taiwan Investment Environment June 2015 Department of Investment Services Ministry of Economic Affairs

Industry

Approved Amount (US$100million)

Percentage of Total (%)

Finance and insurance 15.71 27.23

Electronic parts and components 8.27 14.33

Wholesale and retail sales

7.85 13.60

Real estate 4.89 8.48

Support services 2.93 5.09

Industry

Approved Amount (US$100

million)

Percentage of Total (%)

Finance and insurance 367.61 27.82

Electronic parts and

Components188.53 14.27

Wholesale and retail sales 134.15 10.15

Computers, electronic and

optical products 66.27 5.01

Information and Communication 62.44 4.73

Foreign Investment by Industry

6

Source: Investment Commission, MOEA

2014 1952~2014

Page 7: Taiwan Investment Environment June 2015 Department of Investment Services Ministry of Economic Affairs

Stock of FDI, 2001 ~ 2014

Unit: US$billion

Source: UNCTAD and Central Bank of the Republic of China (Taiwan)

7

34.75

30.07

37.26

38.28

43.18

50.21

48.64 45.46

55.76

64.2

56.15

59.36

65.79

68.64

0

10

20

30

40

50

60

70

80

2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014

Page 8: Taiwan Investment Environment June 2015 Department of Investment Services Ministry of Economic Affairs

III. Investment Environment International Ranking

8

CompetitivenessIMD: 11 (2015)WEF: 14 (2014)

Business EnvironmentWB: 16 (2014)

EIU: 14 (2013-17)

Investment Environment Risk

BERI: 5 (2015.I)

Economic FreedomHeritage Foundation: 17 (2014)Cato Institute: 18 (2014)

Country Credit RatingS&P’s: AA- (2014)Moody’s: Aa3 (2014)Fitch: AA (2014)

Page 9: Taiwan Investment Environment June 2015 Department of Investment Services Ministry of Economic Affairs

6 Major Emerging Industries

Strategic Position

Extensive Infrastructure

ComprehensiveIP Protection

Investment Environment Advantages

Excellent Talent

Investment Environment Advantages

R&D Capacity

Industry clusters

SME Strength

Soft Power

9

Supply Chain

System

TaxIncentives

Page 10: Taiwan Investment Environment June 2015 Department of Investment Services Ministry of Economic Affairs

Direct Cross-Strait

Air & Sea Transport:

■Direct Transportation Ports 67 ports

■Air Flights828 flights/week

■Cargo Charter Flights 68 flights/week

■Sea ShipmentTaiwan

13 ports, China 72ports

Average sailing time to 5 main ports (HK, Manila, Shanghai,

Tokyo, Singapore) in Asia is merely 53 hours

Average flying time to 4 main cities (Beijing, Seoul,

Tokyo, HK) in Asia is 2 hours & 55 minutes

Strategic Position ─ Critical Transportation Hub

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Page 11: Taiwan Investment Environment June 2015 Department of Investment Services Ministry of Economic Affairs

Taiwan: An Asian Economic Hub

Direct Cross-Strait Links

Cross-Strait Tariff Reductions

Removal of Non-Tariff Barriers

Full-Function Logistics Centers

Transshipment Trade Goods Distribution Final Processing

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Page 12: Taiwan Investment Environment June 2015 Department of Investment Services Ministry of Economic Affairs

Excellent Talent and Intellectual Property Protection

Talent Intellectual Property Protection

45.4% of the work force is college/university educated. 320,000 college/university graduates are produced every year.

Number of invention patents per million population: Ranked No. 1 in the world 2007-2014 (Statistics from Patent Office, USA)

Intellectual Property Court

began operating in July

2008.

Intellectual Property

Rights Police Team

formed.

Mature trademark, patent,

and copyright laws.

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Page 13: Taiwan Investment Environment June 2015 Department of Investment Services Ministry of Economic Affairs

Well-Developed Industry Clusters

Nankang Software Park

‧IC design‧Digital content‧Biotechnology

Hsinchu Science Parkand Nearby Industrial Zones

‧IC manufacturing Optoelectronics ‧Biotechnology ‧

Central Taiwan Science Park and Nearby Industrial Zones

‧ Semiconductors, optoelectronics Biotechnology ‧ Precision machinery‧

Changhua Coastal Industrial Park

‧Metal products, metal surface treatment

‧Recycling, green energy

Southern Taiwan Science Park and Nearby Industrial Zones

‧ Optoelectronics ‧ Environmental technology ‧ Automobile parts ‧ Precision machinery

Industrial Zones Around Kaohsiung

‧ Petrochemicals, iron and steel industry ‧ Metal processing, precision machinery ‧ IC, optoelectronics, communications,

environmental technology

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Page 14: Taiwan Investment Environment June 2015 Department of Investment Services Ministry of Economic Affairs

Wafer Foundry, IC Packaging, IC Testing, Mask ROMs, IC Design, DRAMsSemi-conductors

Glass Fabrics, Polyester Filament, PTA, PU Leather, Nylon Fiber, Functional Textiles, Carbon Fiber

Electrolytic Copper Foil, CD-ROMs, Motherboards, TFT-LCD Panels, ABS, WLANs, IC Substrates, LEDs, PCBs

Electronic Components

Textiles

Lamps, Bumpers, Sheet Metal, Rearview Mirrors, Rubber/Plastic Parts, Molds and Dies

Automotive Components

Screws, Nuts, Tin Bars, Electric Scooters, Electric Wheelchairs, Machine Tools, Plastic Machinery, Blood-glucose Meters, Contact Lenses, Bicycles

Metalworking Machinery,

Medical Products

Global Supply Chain Center

14

TFT-LCD Panels, OLED Panels, Portable NavigationDevices, PNDsMonitors

Page 15: Taiwan Investment Environment June 2015 Department of Investment Services Ministry of Economic Affairs

15

Abundant Innovation and R&D Capacity (1)

DCBDCB

TTRITTRI

ITRIITRI

ARTCARTC

CPCCPC

PIDCPIDC

16 R&D Institutes16 R&D InstitutesProvide Diversified R&DProvide Diversified R&D

CapacityCapacity

MIRDCMIRDC

IIIIII

Diversified Industrial Consulting Organizations

Page 16: Taiwan Investment Environment June 2015 Department of Investment Services Ministry of Economic Affairs

208domestic R&D centers

65 international R&D centers

North: 137

Center: 33

South: 38

Abundant Innovation and R&D Capacity (2)

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Page 17: Taiwan Investment Environment June 2015 Department of Investment Services Ministry of Economic Affairs

Sources: USPTO, Calculated by TIER, 2015

(Based on USPTO patents - the largest technology market in the world)

All Patents-2014 Invention Patents-2014 Design Patents-2014Invention Patents Per

Mil. People-2014

Rank Nation Cases Rank Nation Cases Rank Nation Cases Rank Nation Cases

1 USA 159,085 1 USA 144,975 1 USA

13,403 1 Taiwan 484

2 Japan 56,401 2 Japan 54,245 2 Japan

1,974 2 USA 455

3 S. Korea 18,224 3 Germany 16,580 3 S. Korea 1,628 3 Israel 432

4 Germany 17,626 4 S. Korea 16,533 4 Germany 931 4 Japan 427

5 Taiwan 12,261 5 Taiwan 11,339 5 Taiwan 908

5 S. Korea 328

6 China 7,973 6 China 7,288 6 China 676

- China 5.3

Number of Invention Patents

2000-2006, 4th2007-2014, 5th

Total Number of Patents

1999-2007, 4th2008-2014, 5th

Number of Design Patents

2010-2011, 3rd 2012-2013, 4th

2014, 5th

Number of

Invention Patents/Mil. People

2000-2006, 3rd2007-2014, 1st

Patent Performance Shows International CompetitivenessPatent Performance Shows

International Competitiveness

17

Abundant Innovation and R&D Capacity (3)

Page 18: Taiwan Investment Environment June 2015 Department of Investment Services Ministry of Economic Affairs

Management Characteristics of Agility, Flexibility, and TenacityManagement Characteristics of Agility, Flexibility, and Tenacity

Adaption to Competitive Challenges of Globalization Adaption to Competitive Challenges of Globalization

Strength of SME

Strength of SME

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Plentiful and Mobilized Creative CapabilityPlentiful and Mobilized Creative Capability

Continuously Involving in Innovative Activities

Continuously Involving in Innovative Activities

Page 19: Taiwan Investment Environment June 2015 Department of Investment Services Ministry of Economic Affairs

MIT products have 20% greater value.

「 State of cluster development 」 ranked 2nd in WEF’s “Global Competitiveness Index 2014”.

Able to facilitate product R&D and marketing, supports Just-in-Time production and lower production cost.

Taiwan companies located throughout the Asia Pacific are the best resource integrators.

Taiwan companies with HQs in Taiwan closely cooperate with RHQs of foreign companies.

Taiwan has developed electronics industries for many years and accumulated intangible strengths of manufacturing process and product commercialization.

People with legal concepts and business habits are accustomed to international norms.

“Business Efficiency of SME” ranked 6th in IMD World Competitiveness Yearbook 2014.

MIT ValueTaiwan

Companies

Meet International

Standards

Soft Power

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Page 20: Taiwan Investment Environment June 2015 Department of Investment Services Ministry of Economic Affairs

ExtensiveInfrastructure

Highly-developed sea, air, and land transportation

Well-developed ICT facilities

Comprehensive industrial land zoning

Convenient freight and logistics

■ Fully integrated transportation network.

■ High-speed rail enables same-day travel between Taipei and Kaohsiung.

■ Over 10,000 domestic/overseas sea/air/land freight and warehousing companies form a comprehensive and efficient transportation network.

■ Taiwan has a well-developed ICT infrastructure with 97.56% penetration for fixed line, 84.53% penetration for household Internet use, and 92.5% penetration for mobile phones.

■ There are currently 181 industrial zones, 3 science parks, 10 export processing zones, and 7 free trade

zones.

■ International logistics companies based in of key Taiwanese and foreign cities effectively reduce import/export/transshipment times for cargo, enabling the rapid flow of goods and information.

Plentiful and low-cost water/electricity supply

■ Water  Water prices are relatively cheap

compared to many other countries.

■ Electricity  Electricity prices are relatively

low compared to the rest of the world.

Extensive Infrastructure

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Page 21: Taiwan Investment Environment June 2015 Department of Investment Services Ministry of Economic Affairs

Business Income Tax

• Revised Income Tax Act passed on May 28, 2010.

• Business income tax reduced from 25% to 17%.

• The reduced rate is more favorable than China (25%) and Korea (22%).

Individual Income Tax

• Reduction effective in 2010. • Three lowest individual

income tax brackets were each reduced by 1% in 2010, and the minimum tax bracket was increased to NT$520,000.

Inheritance and Gift Tax

• Reduction effective on January 23, 2009.

• Highest marginal rate reduced from 50% to 10%; inheritance tax credit increased to NT$12,000,000 and gift tax credit increased to NT$2,200,000.

Source: MOEA Department of Investment Services

50%

10%

25%

17%

BracketUnder

410,000

Over 410,000, under

1,090,000

Over 1,090,000

under2,180,000

Tax Rate

6% 13% 21%

Bracket Under 520,000

Over 520,000, under

1,170,000

Over 1,170,000,

under2,350,000

Tax Rate

5% 12% 20%

Competitive Low-Tax Environment

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Page 22: Taiwan Investment Environment June 2015 Department of Investment Services Ministry of Economic Affairs

Tax Competitiveness: A Comparison with Neighboring Countries

Item Taiwan China Hong

Kong Singapore South Korea

Corporate Income Tax

17% 25% 16.5% 17% 22%

Personal Income Tax

5%~40 % 3%~45% 15% 2%-20% 8%~35%

Gift and Inheritance Tax

10% 0% 0% 0% 6%~33%

Value-added Business Tax

5% 17% 0% 7% 10%

Tax Incentive Policy

R&D investment

R&D investment,

high & new

technology

- R&D investment,

emerging industries, operations headquarters

R&D

Investment,

foreign investment

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Page 23: Taiwan Investment Environment June 2015 Department of Investment Services Ministry of Economic Affairs

MOEA

Page 23

IV. Investment Incentives

Special Zone Incentives

◎FTZs

◎Science Industrial Parks

◎Agriculture Technology Parks

◎EPZs

◎Free Economic Pilot Zones

R&D Guidance and Subsidies

◎Advanced Technology Research Plan

◎Integrated R&D Plan

◎Encouragement of Domestic

Enterprises to set up R&D Centers

◎Global Innovation and R&D

Partnership Plan

◎Innovative R&D Program for Small

Enterprises

Financing and Investment

◎Loans for Promoting Industrial Innovation or R&D

◎Preferential Loans for Distribution Services and

Catering Industries

◎Preferential Loans for the Revitalization of

Traditional Industries

◎National Development Fund (NT$150billion in loans,

or direct or indirect investment)

Facilitate Foreign

Investment

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Page 24: Taiwan Investment Environment June 2015 Department of Investment Services Ministry of Economic Affairs

1. Tax Incentives1. Tax Incentives

Article 10 of the “Statute for Upgrading Industries” stipulates that up to

15% of expenditures on R&D can be deducted from the amount of business income tax due for the current year, up to 30% of the business income tax due.

To realize the “Light Taxation, Simplified Administration” tax reform policy, as well as to create a fair, efficient, simplified, and internationally competitive tax environment, the business income tax rate has been cut to 17%.

Biotech Industry: A company may, for five years beginning with the year in which it

becomes subject to the corporate income tax, deduct up to 35% of its investment in research and development and personnel training from its corporate income tax due each year;

A profit-seeking enterprises that subscribes to the stock issued by a biotech or new pharmaceuticals company at the time of the latter’s establishment or subsequent expansion, and that has been a registered shareholder of such company for three years or more, may, over five years beginning with the year in which it becomes subject to the corporate income tax, deduct up to 20% of the total amount paid for such subscription.

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Page 25: Taiwan Investment Environment June 2015 Department of Investment Services Ministry of Economic Affairs

Imported machinery that is not manufactured domestically may enjoy duty-free treatment.

Import Tariff Exemption

Royalty payments to foreign companies for imported new production technologies or products that use patents, copyrights, or other special rights owned by foreign companies is, with the approval of the Ministry of Economic Affairs, exempt from the business income tax.

Income Tax Exemption on Foreign

Royalty Payments

Participants are eligible for a five-year business-income-tax holiday, investment tax credits, duty-free import of construction machinery, and reduced house tax, land-value tax, and deed tax. Profit-seeking enterprises that invest in private enterprises participating in major infrastructure projects are eligible for offsets against the business income tax.

Private Participation

in Major Infrastructure

Projects

1. Tax Incentives (cont.)1. Tax Incentives (cont.)

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Page 26: Taiwan Investment Environment June 2015 Department of Investment Services Ministry of Economic Affairs

The following incentives are offered for Export Processing Zones, Science Parks, Free Trade Zones, and Agricultural Biotechnology Parks:

1. Exemption from import duty, commodity tax, and sales tax on imported raw materials, fuel, materials, semi-processed goods, and machinery.

2. Zero business tax on goods and services shipped abroad and on raw materials, fuel, materials, semi-processed goods, and machinery procured from a tax zone.

General Tax

Incentives

Exempt from alcohol tax, tobacco health and welfare surcharge, trade promotion service fee, and harbor service fee.

Free Trade Zones

2. Incentives for Special Zones2. Incentives for Special Zones

26

Page 27: Taiwan Investment Environment June 2015 Department of Investment Services Ministry of Economic Affairs

Subsides are available to defray up to 50% of total R&D costs, up to maximum of NT$1 million.

Firms that directly supply agricultural goods and are not engaged in any processing or manufacturing may apply for reductions or waivers of basic agricultural electrical fees and business income tax deductions for electricity fees.

Agricultural Biotechnology

Parks

2. Incentives for Special Zones (cont.)2. Incentives for Special Zones (cont.)

27

Subsidies of up to NT$10 million are available for approved R&D projects, not to exceed, however, 50% of total project cost.

Science Parks

Page 28: Taiwan Investment Environment June 2015 Department of Investment Services Ministry of Economic Affairs

Subsidies are available for 40% to 50% of total project cost for the integration of key and cross-sector technologies.

Integrated R&D Plan

Subsidies are available for 40% to 50%, of total development funding for new technologies that are not yet mature in Taiwan and that will, in the future, generate strategic products, services, or industries.

Advanced Technology

Research Plan

Subsidies are available for up to NT$2million or 50% of total spending by domestic enterprises on the establishment of R&D centers in Taiwan.

Encouragement of Domestic

Enterprises to Set Up R&D Centers

Subsidies are available to cover up to 50% of the total cost of R&D for innovative technologies and services.

Innovative R&D program

for Small Enterprises

Subsidies are available for up to 50% of total spending by foreign enterprises on the establishment of R&D centers in Taiwan.

Global Innovation and R&D

Partnership Plan

3. R&D Guidance and Subsidies3. R&D Guidance and Subsidies

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Page 29: Taiwan Investment Environment June 2015 Department of Investment Services Ministry of Economic Affairs

Loans for Industrial

R&DPromotion

■ Eligible industries: Telecommunications, manufacturing, technical services, culture/creation, and distribution services.

■ Maximum loan: The total amount of a loan may not exceed 80% of the cost of a project, or NT$650 million.

■ Interest rate: Not to exceed the interest on 2-year postal time deposits plus 2.25 percentage points.

Loans for Distribution

Services and Food and

Beverage Industries

■ Eligible Industries: Wholesale and retail sales, food and beverage, and logistics (excepting passenger transportation, shipping, and warehousing services).

■ Total amount of funds available for loans: NT$2billion.■ Interest rate: Floating rate; the interest rate on for the utilization of long-

term funds plus a percentage, not to exceed 1.75 percentage points, added by the lending bank.

Loans for the Revitalization

of Traditional Enterprises

■ Eligible industries: Traditional industries other than emerging, important, and strategic industries.

■ Maximum loan: Up to 80% of the cost of the project, not to exceed NT$600 million.

■ Interest rate: Not to exceed the interest rate on 2-year postal time deposits, plus 2.25 percentage points.

4. Loans and Investment ---Low-interest Loans

4. Loans and Investment ---Low-interest Loans

29

Page 30: Taiwan Investment Environment June 2015 Department of Investment Services Ministry of Economic Affairs

Scope of investment:

- IT, communications technology, aerospace,

and digital content industries.

- Investment projects of domestic SMEs.

Investment ceiling: Government-held shares

may not exceed 49% of the total.

National Development Fund

4. Loans and Investment (cont.) ---Government Participation

4. Loans and Investment (cont.) ---Government Participation

30

Page 31: Taiwan Investment Environment June 2015 Department of Investment Services Ministry of Economic Affairs

2. Cross-sector Integration2. Cross-sector Integration

1. Service and System Integration

1. Service and System Integration

Service and system integration to replace hardware manufacturing.

Service and system integration to replace hardware manufacturing.

V. Industrial Development Trends and Investment Opportunities

31

Change of Population Structure

Change of Population Structure

Technology Integration

Technology Integration

Climate ChangeEnergy Saving

Environment Protection

Climate ChangeEnergy Saving

Environment Protection

Diversified Lifestyle

Intellectuali-zation

Diversified Lifestyle

Intellectuali-zation

Research Innovation

Research Innovation

Int’l Development Trends

Green Opportunities

Enviromentprotection

Technology

BusinessModel

Innovation

Value-addedSoftware and

Services

InnovativeTalent

Integrated Technology Application

Digital Tech Innovation

Living Technology

Intelligent Living

Intelligent Green Culture/ Creative

Energy Saving Technology

Elements of agriculture, industry, services, etc. to integrate and become main power for developing innovative and new industries.Elements of agriculture, industry, services, etc. to integrate and become main power for developing innovative and new industries.

Page 32: Taiwan Investment Environment June 2015 Department of Investment Services Ministry of Economic Affairs

GoalsGoalsStrategiesStrategiesThemes Themes

Forward-looking Forward-looking Trends, Upgrading of Trends, Upgrading of

Industrial QualityIndustrial QualityDevelopment Goals

(2013 2020)Total production value of

manufacturing sectorNT$13.93T 19.46T

GDP of service sector administered by MOEA*

(2011→2020)NT$3.03T→4.75T

Nurturing new creation – facilitate establishment of new industries

Expanding systems -build systematic problem-solving capability

Providing key components - establish comprehensive supply chain system

Increasing value/ quality – upgrade product quality level and value

Assist Mittelstand – stimulate more Mittelstand development

Nurture Emerging Industries

Strengthen Major

Industries

Renew Traditional Industries

Industrial Upgrading and Transforming Action Plan

32

*Service sector administered by MOEA includes wholesale & retail sales, catering, logistics, consulting, information services, design, advertising, exhibitions, digital content, wireless broadband applications, health promotion, automation engineering technology, cloud computing, e-commerce, energy, and technical services: 15 industries in total.

Page 33: Taiwan Investment Environment June 2015 Department of Investment Services Ministry of Economic Affairs

Renew Traditional Industries- Increasing value/quality

Renew Traditional Industries- Increasing value/quality

Strengthen Major Industries- Providing key component

Strengthen Major Industries- Providing key component

Strengthen Major Industries- Expanding systems

Strengthen Major Industries- Expanding systems

Nurture Emerging Industries- Nurturing new creation

Nurture Emerging Industries- Nurturing new creation

High-value petrochemical products

High-value metal products

High-value textile products

Safe and secure food system

Aerospace materials/components

Deep sea applications

Intelligent energy-saving electric

/home appliances

Internationalized generic drugs

 

High-value petrochemical products

High-value metal products

High-value textile products

Safe and secure food system

Aerospace materials/components

Deep sea applications

Intelligent energy-saving electric

/home appliances

Internationalized generic drugs

 

   Machine tool controllers

   Flat panel display materials

   Semiconductor materials

   High-end process equipment   Adv’d electronic components

   Bike electronic actuators

Key silicon IP and chip systems

Wireless broadband application Energy technology services

Information services

   Machine tool controllers

   Flat panel display materials

   Semiconductor materials

   High-end process equipment   Adv’d electronic components

   Bike electronic actuators

Key silicon IP and chip systems

Wireless broadband application Energy technology services

Information services

Intelligent automatic production solutions Cloud data center solutions Green energy systems integration and operations Turnkey exportation Lifestyle innovation services Energy ICT services Wholesale and retail sales Catering Logistics E-commerce Health promotion

Intelligent automatic production solutions Cloud data center solutions Green energy systems integration and operations Turnkey exportation Lifestyle innovation services Energy ICT services Wholesale and retail sales Catering Logistics E-commerce Health promotion

B4G/5G communication systems

New drugs and medical materials

3D-Print manufacturing

Next-generation electronic devices

Electric vehicles

Smart city and wisdom networking

Cloud industry and big data analysis

Digital content

Strategic services

Design industry

Intelligent automation engring tech      

B4G/5G communication systems

New drugs and medical materials

3D-Print manufacturing

Next-generation electronic devices

Electric vehicles

Smart city and wisdom networking

Cloud industry and big data analysis

Digital content

Strategic services

Design industry

Intelligent automation engring tech      

Key Industries for Short- and Medium-term Development

33

Manufacturing sector

Service sector

 

 

 

Page 34: Taiwan Investment Environment June 2015 Department of Investment Services Ministry of Economic Affairs

Major Industries for Foreign Investment

Offshore Wind Power Turbine

International Logistics-related Services

Electric Vehicles Information Services

Mobile Broadband Services

Digital Content

Semiconductor EquipmentBiotech and

Pharmaceuticals

Electronic Materials

34

Page 35: Taiwan Investment Environment June 2015 Department of Investment Services Ministry of Economic Affairs

Item Investment Opportunities

Offshore wind power machinery industry

1. The target for installed wind power capacity by 2020 is 0.32GW.2. At least 64 offshore wind turbines required.3. Maritime engineering: Need to establish construction technology and provide working ships.

Electric vehicle industry

1. Passenger buses: A total of 10,000 passenger buses will be needed by 2023, providing market opportunities projected at 65 billion NT dollars.

2. Trucks: Around 3,000 garbage trucks will be replaced and about 5,000 short-range freight trucks will be required, providing business opportunities worth approximately 15 billion NT dollars.

Mobile broadband services industry

1. Licenses for 1.4G LTE spectrum released in 2013 are expected to offer business opportunities involving more than 70,000 macro base stations and over 1 million small cells.

2. Business opportunities will arise from the 10 billion NT dollars that the government expects to invest in promoting innovative mobile broadband application services.

International logistics-related services(4G)

1. Installation of intelligent logistics software needed for the deployment of ICT and other technologies necessitated by the operation of free economic pilot zones.

2. Software investment opportunities include cloud service platforms for logistics, information management systems for supply chain collaboration, goods-tracing management platforms, shipment-tracking management platforms, inventory-financing service platforms, and value-added warehousing, shipping, and transit platforms.

Semiconduct-or factory expansion

Semiconductor companies will spend more than 10 billion US dollars on capacity expansion, and this will give rise to potential opportunities for the supply of whole-plant semiconductor equipment along with consumable parts and components for semiconductor equipment. 35

Industrial Investment Opportunities

Page 36: Taiwan Investment Environment June 2015 Department of Investment Services Ministry of Economic Affairs

Agencies of MOEA

1.IDB2.DoIT3.EPZA4.DoC5.BoE

6.SMEA

36

VI. Investment ServicesVI. Investment Services

Department of Investment

Services

Investment Promotion Offices1.TUSA2.TJPO3.Industrial Development and Promotion Committees

Ministry of Economic Affairs

Local Governmental

Investment Services

InvesTaiwan Service Center

Central Government1.Min. of The Interior2.Min. of Trans. & Com.3.Min. of Finance4.Min. of Culture5.EPA6.Min. of Health and Welfare7.Council of Agriculture

…..Investment

Commission,MOEA

(Investment review)

(Investment Promotion)

(Investment Assistance)

Page 37: Taiwan Investment Environment June 2015 Department of Investment Services Ministry of Economic Affairs

1. Promotion of domestic and foreign investment and technical cooperation2. Assistance for and promotion of investment by returning Taiwanese businesses3. Pinpointing and collation of investment opportunities4. Promotion of investment projects, follow-up, and removal of obstacles5. Publication of investment guides and investment-related laws and regulations6. Promotion of the recruitment of overseas technology personnel7. Promotion and liaison in regard to bilateral and multilateral investment affairs

Please make full use of DOIS services

Department of Investment Services, MOEA8F., No. 71, Guanqian Rd., Taipei, TaiwanTel: 02-23892111E-mail: [email protected] Website: http://www.dois.moea.gov.tw

37

Page 38: Taiwan Investment Environment June 2015 Department of Investment Services Ministry of Economic Affairs

http://investtaiwan.nat.gov.tw/

Overview

Why

Taiwan

Investment

Climate

Business

Opportunities

Success Stories

How to Invest

Other Services

News

38

Investment Portal

Page 39: Taiwan Investment Environment June 2015 Department of Investment Services Ministry of Economic Affairs

Thank youThank you

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