2023-11-29

Taiwan and France Jointly Announce the Signing of a Science and Technology Cooperation Convention with Future Coopera-tion Focusing on Six Key Areas

On November 29, the National Science and Technology Council (NSTC) jointly held a press conference with the French Office in Taipei. During the conference, co-hosts NSTC Minister Tsung-Tsong Wu and French Office in Taipei Director Franck Paris, announced that Taiwan and France had recently signed a Science and Tech-nology Cooperation Convention (STC). By focusing on six key areas, this STC aims to lift Taiwan-France scientific research cooperation to new heights. During the press conference, Executive Yuan Premier Chien-Jen Chen, who was al-so in attendance, stated that Taiwan’s success and performance in scientific re-search and technology industries have started to garner international attention and acclaim. With these experiences and achievements, Taiwan looks forward to tackling the world’s toughest challenges by cooperating with like-minded coun-tries that are also free, democratic, and respect human rights. Minister Wu also stated that the NSTC has promoted S&T exchange and cooperation with ministry-level agencies in Taiwan’s partner countries over the past three years. To date, Taiwan has signed science and technology cooperation agreements with three technology powerhouses: the US, Germany, and France. Based on the country’s emphasis on technological development, Taiwan will also sign S&T agreements with other countries in the future. These agreements will continue to strengthen the global importance and influence of Taiwan’s scientific research and S&T indus-tries. Following Premier Chen and Minister Wu’s remarks, French Office in Taipei Direc-tor Paris stated that Taiwan’s S&T strength and industrial development have gar-nered attention across the world. Director Paris also stated that France has en-joyed remarkable development in many S&T sectors, and that by signing this STC, Taiwan and France will be able to establish more comprehensive S&T cooperation in the future. During the press conference, Diplomatic Representative in France François Wu Chih-Chung delivered remarks via video. Representative Wu affirmed the importance and impact of Taiwan’s scientific research strength in supporting diplomatic efforts. In addition, Representative Wu stated that he hopes the Tai-wan-France S&T partnership can enjoy more cooperation and develop further in the future.  This STC is the result of NSTC Minister Wu’s visit to France in 2022. Following a year of hard work and discussion with France, Representative Wu and Director Paris signed the STC on November 23 in Paris. Minister Wu was also in attendance to personally witness the signing process. The STC will focus cooperation in six key areas, which include semiconductors and quantum, healthcare, marine technolo-gy, cybersecurity and AI, green industries, energy and net-zero, and space tech-nology.   During his recent visit to France, Minister Wu also met with Minister of Higher Ed-ucation and Research Sylvie Retailleau to discuss specific cooperation plans and strategies that will launch after the signing of the STC. Both Minister Wu and Retal-lieau aim to initiate new bilateral cooperation as soon as possible. According to ini-tial plans, a Taiwan-France Science and Technology Meeting, which will focus on dialogues regarding S&T policy and academic research, is scheduled to take place in early May 2024 in Taiwan. Media Contact: Kai-Shyr Wang Section Chief  Department of International Cooperation and Science Education  National Science and Technology Council Tel: +886-2-2737-7810 kswang@nstc.gov.tw

2023-11-02

Taiwan to secure tech advantage with NT$300 billion chip innovation program

At Thursday's weekly Cabinet meeting, Premier Chen Chien-jen received a briefing from the National Science and Technology Council on the Taiwan Chip-based Industrial Innovation Program. The premier said that the program aims to create new prospects for Taiwan's tech industry and will lay the foundations for the nation's technological strength over the next 10 to 20 years. Taiwan's strengths in the field of semiconductors are universally recognized around the world, the premier said. To meet the opportunities and challenges posed by future technological transformations and capitalize on Taiwan's leading position, the government is taking preemptive action today to lay the groundwork for the tech industry of tomorrow. To this end, the government plans to allocate NT$12 billion (US$369.4 million) to the science and technology budget in 2024, and a total of NT$300 billion (US$9.2 billion) for the program's implementation over the next 10 years (2024 to 2033). Premier Chen said the program will focus on four main strategies: combining generative artificial intelligence with integrated circuit technology to advance breakthrough industrial innovation; improving the environment for domestic talent cultivation and welcoming international R&D personnel; accelerating development of the heterogeneous integration processes and advanced technology necessary for industrial innovation; and utilizing Taiwan's strengths as "Silicon Island" to attract international startups and investment. The premier said the present moment is a golden opportunity for international collaboration. Taiwan should take advantage of its dominance in the semiconductor industry ecosystem to pave the way for the nation's future science and technology industries and fortify its industrial capacity for breakthrough innovation.

2023-08-30

Countries Worldwide Strengthen Semiconductor Supply Chain Resilience Major Equipment Manufacturers Continue to Expand in Taiwan

The COVID-19 pandemic has created a high demand for semiconductors since 2020. However, as East Asia produces the majority of semiconductors, and the flow of people and goods were hindered during the pandemic, the world was hit with a semiconductor shortage. In response, the term 'chip shortage' was created to describe the insufficient supply of semiconductors during the pandemic. Countries around the world began to recognize the importance of semiconductors. Currently, major global semiconductor manufacturers are actively expanding production and ramping up investments in countries with robust manufacturing capacities, such as Taiwan, South Korea, Singapore, and Malaysia to increase nearby supply production and strengthen the resilience of semiconductor supply chains. The pandemic has subsided, but trade tensions between China and the US have risen. In the past three years, China has become the world's largest market for semiconductor equipment. As such, manufacturers are swiftly adjusting supply chain strategies to mitigate the impact on revenues. In recent years, emerging terminal applications (e.g., high-performance computing (HPC), 5G, and automotive electronics) and remote learning during the pandemic has driven major semiconductor manufacturers to expand production. As such, the global market for semiconductor equipment has experienced positive growth for three consecutive years, reaching US$107.65 billion in 2022—a new record. Major semiconductor suppliers are concentrated in the United States, the Netherlands, and Japan, while 80% of the equipment market is located in East Asia. An examination of global semiconductor equipment market share in 2022 reveals that China accounted for 26.3%, Taiwan for 24.9%, South Korea for 20%, and Japan for 7.8%. For greater geographical proximity to customers, major players like Applied Materials, Lam Research, and ASML have established production bases in Asia. The production bases in Asia however are mainly focused on assembly, with fewer bases engaged in manufacturing, as the purpose is to quickly replace components and reduce logistics costs. Following the pandemic, countries worldwide are beginning to recognize semiconductors as a strategic resource and actively strengthening semiconductor self-sufficiency. In particular, the U.S. recently announced an amendment to widen the scope of subsidies for the CHIPS and Science Act (CHIPS Act) to include semiconductor equipment and chemical materials in the upstream supply chain. The aim is to incentivize semiconductor manufacturers to invest in the U.S. and promote development of the local semiconductor industry. The symbolic move by the U.S. government positions semiconductors as a strategic resource, highlighting how it has become the lifeblood of global economy and security. Equipment manufacturers have subsequently readjusted their strategies in response to the global trend of shortening supply chains. Because the semiconductor industry has higher technological and funding thresholds, the market has been dominated by a small number of industry-leading enterprises for a long time, including ASML, Lam Research, and Tokyo Electron. A summary of their strategies adopted in different scenarios is as follows: ASML: In recent years, ASML has been actively expanding operations in Asia, investing approximately US$180 million to establish technology bases and training centers in Hwaseong, Korea. Additionally, observations have also been conducted in Vietnam, Singapore, and Malaysia. In 2023, ASML invested approximately NT$30 billion in Taiwan for R&D and manufacturing of 2-nanometer wafer optical measurement equipment. An estimated 2,000 employees will be stationed in Zone 1, Linkou Industrial Zone, New Taipei City, further strengthening Taiwan’s high-end semiconductor processing supply chain. Lam Research: Lam Research has established an 800,000 square feet manufacturing base in Malaysia – its main operation center in Asia. Furthermore, Lam’s equipment and components supply chains established in Taiwan is deepening collaboration with Taiwanese manufacturers. Lam Research has also established an R&D center and continually increased R&D investments to strengthen advanced processing technology services for customers, enhance the scale of its supply chain in Taiwan, achieve mass production of 2-nanometer processes, and promote local development of key processing technologies. Tokyo Electron: Tokyo Electron (TEL) maintains a primary production base in Japan and continues to expand factory capacities to meet market demand. Additional manufacturing centers have been established in Asia, including Taiwan and Malaysia, and TEL is planning to continue expansion. In 2022, TEL invested NT$1.8 billion in Tainan to establish a manufacturing and maintenance hub for critical components of semiconductor equipment; furthermore, the company has bolstered the development of semiconductor clusters in southern Taiwan by collaborating with local supply chains. Taiwan has excellent professional knowledge in semiconductors, advanced manufacturing capabilities, and comprehensive industry clusters. As such, Taiwan has positioned as the developmental linchpin in the global semiconductor industry. Despite the challenges, major semiconductor equipment manufacturers are still coming to Taiwan and establishing manufacturing and R&D capabilities. This will in turn, continue to strengthen Taiwan’s semiconductor ecosystem by integrating local manufacturing power.

2018-11-05

Replenish 5+2 Industrial Innovation Competitiveness to Attract Real Investment. MOEA’s Taiwan and Europe Bilateral Investment Technology Cooperation Delegation Achieved Great Results.

Wang Mei-Hua, Vice Minister of Economic Affairs, led the “Taiwan-Europe Bilateral Investment Technology Cooperation Delegation" to Germany, Denmark, and the United Kingdom from October 27 to November 2 to advance industrial investment cooperation and attract investment. The delegation visited 8 key foreign companies in the optoelectronics and semiconductors, smart machinery, biotechnology and pharmaceuticals, offshore wind power and aviation industries and promoted multiple investment and technology cooperation projects. It also signed a letter of intent (LOI) for investment with the international pharmaceuticals company that ranks first in the world in innovation. The delegation was also invited to exchange opinions on Taiwan and the development of the global circular economy with the Cross-Party Group on Taiwan in the Scottish Parliament. The important achievements of the delegation are as follows: 1. Advancement of optoelectronics, semiconductors and smart manufacturing supply chain in Taiwan: The delegation visited Manz AG, the German high-tech equipment manufacturer and facilitated expansion of next-generation laser cutting and corrosion and human-machine integration technologies based on the company’s foundations for semiconductor wet process equipment manufacturing technologies in Taiwan. The investment will help Taiwan accumulate comprehensive innovation capacity in the optoelectronics and semiconductor equipment manufacturing sector. In addition, the delegation also visited the world-leading pump manufacturer and R&D company Grundfos in Denmark and encouraged the company to continue expansion in Miaoli as well as to conduct technology cooperation with domestic companies in waste water treatment and smart pumps. 2. Advancement of local development in the offshore wind power industry: The advancement of the offshore wind power industry is a key task in Taiwan’s energy transition. Taiwan has selected 7 offshore wind farm developers in the first half of this year. To continue to strengthen weaknesses in domestic production supply chain for Taiwan’s offshore wind power, the delegation focused on European firms that specialize in the production of wind turbines, marine engineering, and other advanced offshore wind power industries. It visited the Danish company MVOW and encouraged the company to establish a nacelle assembly plant or gear box manufacturing plant in Taiwan. The delegation also visited WindHoist, a British company that specializes in installation and logistics for wind turbine installation, and encouraged the company to establish a branch company in Taiwan, form a technical team with domestic suppliers, establish a personnel training center, and help cultivate technical personnel for wind turbine installation. In addition, the delegation also visited the Scottish energy conglomerate Woods Group and encouraged the company to establish a branch company in Taiwan. Woods Group shall comply with Taiwan’s domestic production policies and work with Taiwanese suppliers to expedite technology upgrade and help Taiwan set up a wind turbine industrial chain. 3. Encouraging international pharmaceuticals companies to invest in preliminary R&D of new drugs in Taiwan: The delegation visited the British biochip manufacturer Arrayjet and encouraged the company to commence technology collaboration with Taiwanese ICT and precision manufacturing industries. The delegation also visited AstraZeneca, the British pharmaceuticals manufacturer that ranked first in the world for innovation. Vice Minister Wang Mei-Hua and the company’s Vice President Ms. Rene van der Merwe represented the Ministry and AstraZeneca in signing a letter of intent (LOI) for investment. The Company has operated in Taiwan for more than 70 years. In addition to tripling its clinical research budget in Taiwan in recent years and facilitating the launch of 10 new drugs, the company also announced during the visit that it shall establish the iDream innovation center in Taiwan to cultivate innovative technologies and talents for preliminary R&D in the pharmaceuticals industry in Taiwan. It shall also use Taiwan as the company’s advancement center for the iDream project in Asia which is expected to become a pilot program for powering large international pharmaceuticals companies’ investment in preliminary drug R&D in Taiwan. Members of the delegation, whose mission was to facilitate actual investment and technical collaboration, included representatives of the Department of Investment Services, Industrial Development Bureau, Biotechnology and Pharmaceutical Industries Promotion Office, Metal Industries Research & Development Centre, Green Energy and Environment Research Laboratories of Industrial Technology Research Institute, and Biomedical Technology and Device Research Laboratories. The MOEA will continue to focus on major industries, target overseas Taiwanese and foreign key technology investors, promote investment in Taiwan, advance industry upgrading and transition, and strengthen overall economic prosperity and growth. Department of Investment Services Spokesperson: Chang Yuan-Chih, Senior Executive Officer Office Number: 02-2389-2111 ext. 812 Mobile Phone: 0937-013-690 Email address: jameschang@moea.gov.tw Contact Person: Lin Mei-Hsing, Section Chief Office Number: 02-2389-2111 ext. 212 Mobile Phone: 0988-158-298 Email address: mhlin2@moea.gov.tw

2018-09-06

Premier vows to support Taiwan's semiconductor industry

Taipei, Sept. 5 (CNA) Premier Lai Ching-te said on Wednesday the government will do its best to come up with pragmatic policies that support the local semiconductor industry.Speaking at a press conference before the opening ceremony of SEMICON Taiwan 2018, the largest IC trade show in the country, Lai said the government will continue to promote tax breaks, relax of regulations and introduce proposals to resolve the "five shortages" as a way of encouraging large semiconductor firms like Taiwan Semiconductor Manufacturing Co. (TSMC) to invest more in the country.The so-called five shortages -- land, water, electricity, skilled workers and manpower -- have long been major problems facing the industrial sector.TSMC, the world's largest contract chipmaker, announced last year a plan to build an advanced 3 nanometer wafer fab in Tainan with total investment of more than NT$600 billion (US$19.52 billion) to maintain the lead over its peers.Lai said that following the of efforts of government, industry and academic circle, TSMC has decided to stay in Taiwan to develop sophisticated processes, including 7 nanometer, 5nm and even 3nm technologies.In addition, Lai said, other semiconductor giants such as the world's largest IC packaging and testing services provider ASE Technology Holding Co. and dynamic random access memory access (DRAM) Winbond Electronics Corp. have also pledged to invest more in Taiwan."Taiwan has become one of the most important hubs for the global semiconductor industry," Lai said. "The government is determined to lend its support to help the local semiconductor industry move forward.Lai said he was delighted to see a larger SEMICON Taiwan this year with more than 650 exhibitors attending, at a time when Taiwan's semiconductor industry continues to grow.SEMICON Taiwan, held at Taipei Nangang Exhibition Center, will run through Friday. The exhibition, which celebrates the 60th anniversary of the global semiconductor business, was organized by SEMI, a global industry association of companies that serves the manufacturing supply chain in the electronics industry.On Tuesday, SEMI analyst Tseng Jui-yu said the production value of Taiwan's semiconductor industry is forecast to hit about NT$3 trillion in 2021, adding that the industry is expected to see year-on-year output growth of 6-8 percent from 2020-2021.According to Taiwan's Industrial Economics and Knowledge Center (IEK) under the government-sponsored Industrial Technology Research Institute, the production value of the local semiconductor industry totaled NT$2.46 billion in 2017, making it the third largest in the world, after the United States and South Korea.