Extends financial support to foreign investors

03 Jul 2025

On 3 July 2025, Taiwan Province of China approved and launched the “Three Major Programmes for Investing in Taiwan 2.0”, an upgraded continuation of the 2019 investment initiative, which was originally focused on domestic enterprises. The revised programme broadens participation to include overseas Taiwanese businesses and foreign-invested companies, thereby extending its scope to cover foreign investment. 

The range of qualifying industries has also been expanded and now includes:

• the Six Core Strategic Industries: information and digital technology; cybersecurity; precision health; green and renewable energy; national defence; and strategic and essential industries;

• the Five Trusted Industry Sectors: semiconductors; 5G and next-generation communications; AIoT; smart machinery; and defence;

• the healthcare industry; and

• a wide array of service industries.

In terms of financial incentives, the programme provides NT$720 billion (approximately $25 billion) in new loan funding. Interest subsidies have been increased to 0.7–1.0 per cent for small and medium-sized enterprises, and to 0.3–0.7 per cent for large enterprises—compared with the previous range of 0.1–0.5 per cent.

In addition, firms that meet specified local wage thresholds may raise their allowable proportion of foreign workers—by 10 per cent if local employees earn at least NT$36,300 per month (approximately $1,234), and by up to 45 per cent if monthly salaries exceed NT$38,200 (approximately $1,299).

The programme entered into effect in the second half of 2025 and will run through to the end of 2027.

Nature of measure:

• Other regulatory changes
• Incentives

Type:

• Treatment and operation (Operational conditions )
• Promotion and facilitation (Investment incentives)

Industry:

• Manufacturing (Manufacture of basic pharmaceutical products and pharmaceutical preparations, Manufacture of computer, electronic and optical products, and electrical equipment, Manufacture of machinery and equipment n.e.c.)
• Services (Electricity, gas, steam and air conditioning supply, Telecommunications, Computer programming, consultancy and related activities, Public administration and defence; compulsory social security, Human health activities)

Sources:

• Executive Yuan, 投資臺灣三大方案成果與修正, https://www.ey.gov.tw/Page/448DE008087A1971/ba061dd7-d664-4caa-8b3e-cca85b56c107, 03 Jun 2025