The Economy in Taiwan

Taiwan’s economy in 2025 is demonstrating robust growth, with the government raising its full-year GDP forecast to 3.6%, propelled by strong global demand for semiconductors and AI-related products . Leading firms like TSMC and Foxconn have significantly contributed to this surge, with TSMC reporting a 60% year-on-year increase in Q1 net profit . The government is actively investing in sectors such as smart machinery, green energy, biotechnology, and national defense through initiatives like the Asia Silicon Valley Development Plan . Taiwan's strategic position in the global tech supply chain, coupled with its stable political environment and skilled workforce, makes it an attractive destination for foreign direct investment, which reached USD 10.1 billion in 2023 . Despite potential risks from geopolitical tensions and trade policies, Taiwan's diversified economy and proactive government strategies position it as a resilient and promising market for investors.​ The airport economist: what’s happening in Taiwan’s economy? - Economics Observatory