The Ministry of Economic Affairs (MOEA) held the 2023 Taiwan Business Alliance Conference on November 27 at TaiNEX 2. The main theme of the conference was "The New Face of Sustainable Taiwan", showcasing the capabilities of Taiwan's supply chain and industry clusters to attract foreign investors.
MOEA Minister Mei-Hua Wang presided over the event, and President Tsai Ing-wen attended as a distinguished guest. The event saw nearly 300 participants, and included an Appreciation Awards Ceremony to recognize the efforts of foreign businesses that have increased investments in Taiwan over the past three years. Investment Letters of Intent (LOIs) were also signed with representative companies. Global benchmark companies and industry associations such as Microsoft, BASF, Merck, ULVAC and SEMI were invited to share their perspectives on investment opportunities in Taiwan's soft- and hard-ware industries under the global trend of AI technology and supply chain restructuring.
President Tsai, in her address, acknowledged the continuous foreign investment in Taiwan despite the challenges posed by the pandemic, global inflation, and supply chain disruptions. She highlighted the confidence that the global community has in Taiwan's investment environment. Since 2016, foreign investment in Taiwan has reached $79.5 billion USD, reaching a new high last year in the past 15 years. The total investment under the Three Major Programs for Investing in Taiwan has surpassed $2.16 trillion NTD. With Taiwan's semiconductor industry producing 90% of advanced chips, we continue to attract significant foreign investment in expansions, especially in key industries such as AI, 5G, and high-performance computing (HPC). Taiwan is building a reliable and predictable investment environment to connect with the global community and become a driver of global economic growth.
One of the highlights of the event was the Appreciation Awards Ceremony, honoring a total of 14 companies that have invested in and brought key technologies to Taiwan over the past three years. Cumulatively, the companies have invested over $100 billion NTD in Taiwan. In particular, Taiwan's mature semiconductor industry cluster and high-quality talents has attracted leading equipment and materials manufacturers such as ASML, Entegris, Hitachi, High-Tech, Merck, and Tohcello, etc., to localize R&D and production.
In addition, business opportunities are emerging in the Six Core Strategic Industries. For example, Mitsui is involved in the Hai Long offshore wind power project, Siemens Gamesa built the first local offshore nacelle plant. NITTOBO expanded the production line for Low DK glass fiber yarn required for AI servers. AGC introduced processes and technologies for large panels. Heineken is establishing a local production line aimed at becoming the brewing center of East Asia. Mitsui Fudosan, DON DON DONKI, Tsutaya, and Yokohama Hakkeijima (Xpark) invested in commercial, leisure, and recreational facilities, driving local development and creating employment opportunities.
Minister Wang also signed Letters of Intent (LOIs) with 10 representative businesses during the event, accumulating an estimated $90 billion NTD in investments over the next three years. Of the 10 signatory companies, 4 are from Japan, 3 are from the US, and the rest are from Germany, France, and the UK. A majority (7) are in the semiconductor materials and equipment industry, and the rest are in biotechnology, logistics, and general retail.
LOI signatories are focusing on the key technologies critical to Taiwan's industries, and are exerting a positive impact on domestic talent development and industrial competitiveness. Minister Wang emphasized that as the global center for advanced semiconductor processes, Taiwan's industrial clusters, innovative process technologies, and research and development talents have attracted key material and equipment suppliers to settle in Taiwan, such as Air Liquide, Air Products, FUJIFULM, IQE, Lam Research, Nitto, and SUSS MicroTec. In addition, Coupang is establishing its third logistics center in Taiwan, MUJI is planning to expand its stores actively, and ZACROS is expanding its capacity in Taiwan.
Minister Wang stated that despite the numerous global challenges in recent years, Taiwan continues to deliver impressive results. In addition to recognizing the continued efforts of foreign businesses investing in Taiwan over the past three years, Minister Wang also mentioned that signing of LOIs showcases the confidence of foreign businesses in Taiwan's future. The geopolitical developments have thrust Taiwan into the international spotlight. Along with the development of AI and 5G, we
are dedicated to making Taiwan a more favorable investment destination and a reliable supply chain partner to the world.