

The chapter focuses on the Taiwanese high-tech sector’s investments in several geographic areas. Against the backdrop of global supply chain restructuring and emerging technology competition, it analyzes Taiwan’s two representative industries: electronics manufacturing service (EMS) with a long production history in China, and the semiconductor foundry service with its well-established local cluster. Taiwanese EMS companies’ investments in Central and Eastern Europe have facilitated the establishment of regional centers and led to a substantial economic impact on exports and employment. Meanwhile, owing to the trade and technology war between the US and China, and the launch of Taiwan’s New South Bound Policy, the investments by Taiwan’s EMS companies in Southeast and South Asia have become very substantial. For the semiconductor industry, sometimes known as the Silicon Shield, the highly efficient local cluster will continue to grow. Some critical foreign investments have been made lately to address global concerns over chip shortages and economic security. Policy initiatives to better support the global expansion of Taiwanese high-tech companies and relate them to foreign relations development are discussed.
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