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How Taiwan’s Next Move Could Shape Tomorrow’s Tech Economy
November 2025
Few places punch above their weight quite like Taiwan. In today’s global economy, the market sits at the center of some of the most important conversations shaping business and society. From the resilience of supply chains to the race for semiconductor leadership, clean energy transitions to the security of digital infrastructure, what happens here reverberates across boardrooms and global decision-making. This is why it is critical for communication professionals to understand Taiwan’s position in the global economy, crafting campaigns that connect it to international storylines while simultaneously reflecting the distinct cultural context of the Taiwan market.
The Strategic Weight of Semiconductors
Semiconductor innovation is one of the clearest symbols of Taiwan’s global influence. The chips designed and manufactured there underpin the world’s technology, enabling breakthroughs in fields ranging from artificial intelligence to autonomous vehicles, as well as countless other applications that will shape the future. With Taiwan producing the vast majority of the world’s most advanced semiconductors, its leadership is not only a cornerstone of modern industry but also a focal point of international strategy. Policymakers worldwide are increasingly focused on diversifying semiconductor supply chains, with major economies looking to invest heavily in building up local capacity.
Enabling the Global AI Era
When it comes to Artificial Intelligence (AI), Taiwan’s strength lies in the hardware that makes AI possible. The market is home to world-leading chipmakers and contract manufacturers that supply the critical infrastructure powering global AI development. Foxconn’s recent pivot is emblematic of this trend: in the second quarter of 2025, its AI server business grew more than 60% year-on-year, with revenue expected to rise over 170% in the third quarter. The company has forecast annual AI server-related revenue exceeding NT$1 trillion (over US$31.9 billion), underscoring the scale of demand from global customers and Taiwan’s role in enabling it.
This shift reflects how Taiwanese firms are repositioning themselves around the AI boom, while global tech giants are simultaneously expanding their data centre footprints in Taiwan. For businesses and communicators, the opportunity lies in connecting with this transition. Taiwan may not yet lead in AI software or applications, but its role as the enabler of global AI adoption is undeniable.
Rewiring for the Energy Transition
Taiwan’s energy transition is reshaping not just the power mix, but entire industries. With 98% of energy still imported, the government has set ambitious renewable targets – from 20GW solar and 5.6GW offshore wind by 2025, to as much as 40-55GW of offshore wind by 2050. But hitting those numbers is only part of the story.
The shift toward renewables is already pulling in diverse players across the economy. Utilities like Taipower are upgrading grid resilience to integrate intermittent power sources. Technology leaders such as Delta Electronics are developing energy storage systems to improve power stability and ensure renewable energy can be deployed at scale. Meanwhile, Foxconn and TECO’s recent strategic alliance illustrates how technology and industrial leaders are being drawn into the energy transition. Together, these examples show how Taiwan’s energy transition is no longer confined to traditional utilities or developers, but is becoming a whole-of-economy effort, drawing in a wide range of stakeholders and reinforcing Taiwan’s role in the global shift toward a low-carbon future.
Communications Imperatives: Telling Taiwan’s Global Story
For regional and global communicators, the task is to connect Taiwan’s developments to the wider global stories shaping the technology sector. To bring that story to life, here are four observations for communications professionals to consider:
- Position Taiwan as an enabler, not just a producer: Frame Taiwan as the foundation on which global innovation rests – from semiconductors that power new technologies, to AI servers that enable next-generation applications, to renewables that sustain future growth. This also creates whitespace for software players and ecosystem partners to build on Taiwan’s hardware strength. Communicators can amplify this by using concrete case studies to illustrate how Taiwan’s capabilities enable global breakthroughs, making the narrative more relatable and compelling.
- Localise with precision: Communications should reflect Taiwan’s own cultural and market context rather than applying a one-size-fits-all Greater China approach. Credibility comes from engaging with the priorities that matter locally, while still connecting Taiwan’s story to broader regional and global narratives.
- Connect to global narratives: International stakeholders are increasingly focused on supply chain resilience, AI competitiveness, and energy security. Communicators should frame Taiwan’s story in ways that speak directly to these priorities, aligning with the concerns of investors, policymakers, and customers worldwide.
- Reflect government priorities: In green energy, for instance, policy objectives around net-zero, offshore wind farms and grid stability remain front of mind. Communications that acknowledge and align with these priorities resonate locally while strengthening global credibility.
Ultimately, Taiwan’s story offers some of the most compelling proof points of how a relatively small market can play an outsized role. From semiconductors to AI and renewable energy, the market continues to shape how global industries evolve. For businesses and communicators alike, the challenge – and opportunity – is to position Taiwan not only as a vital contributor to today’s economy but also as a platform for tomorrow’s innovation. By grounding global narratives in Taiwan’s unique strengths, communicators can ensure the market’s role is recognised, respected, and reinforced on the world stage.
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