At present Taiwan has 10 export processing zones (EPZs) with a combined area of more than 500 ha. They are all bonded areas and are distributed across Kaohsiung, Taichung and Pingtung. EPZ land is only for leasing. Investors who lease land from the zone administrator can build their own factories or purchase standard facilities.
Land rent is set at 2.24% to 5% of the governmentannounced value of the land. The land lease period is 10 years in principle, though a lease agreement can be extended up to 20 years depending on the needs of individual enterprises (such as bank loans). To continue the agreement after 20 years, renewal is necessary. Additional fees are collected for public facilities for 20 years, based on the fee standards of each EPZ. Monthly rent is US$0.05 - 2.29 per m2 , while public facilities fees are US$0 - 0.53 per m2.
| Location | EPZ | Key Industries | Type |
|---|---|---|---|
| Central Taiwan | Taichung EPZ | Photonics and optoelectronics, electronics | Manufacturing |
| Chungkang EPZ | Panel-related industries, precision tools | Manufacturing | |
| Taichung Software Park | Big data, artificial intelligence, the Internet of Things (IoT), cloud computing, cultural/creativity, information and communications technology, systems integration Knowledge intensive industries | Software | |
| Southern Taiwan | Nanzi EPZ | Semiconductor testing and packaging | Manufacturing |
| Nanzi EPZ II | LCD optoelectronics | Manufacturing | |
| Kaohsiung EPZ | IC, LCD, LED, automotive parts and components | Manufacturing | |
| Taisugar Kaohsiung Logistics Park | Storage, transport, logistics | Logistics | |
| Kaohsiung Software Park | Digital content, information software, and other knowledgeintensive industries | Software | |
| Linkuang EPZ | IC, LCD, LED, automotive parts and components | Manufacturing | |
| Pingtung EPZ | Value-added metals, water treatment equipment, motors | Manufacturing |
Source: Export Processing Zone Administration, Ministry of Economic Affairs (https://www.epza.gov.tw/english/index.aspx)
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