TAIPEI (Taiwan News) — Taiwan is investing in robotics, with National Science and Technology Council (NSTC) Minister Wu Cheng-wen (吳誠文) announcing a plan to commit NT$10 billion (US$330.8 million) to fund robotics startups, including one modeled on contract manufacturing giant TSMC.
Wu said the National Development Fund (NDF) will inject capital to help establish a new TSMC-like startup for mass-producing smart robots. NDF funding is expected to account for no more than a 30% stake. Several industry partners have expressed interest, and the first startup could be launched as early as next year, per CNA.
At last year’s National Science and Technology Conference, TSMC Chair Wei Che-chia (魏哲家) said multifunctional robots would play a key role in future industries. Wu echoed that sentiment, noting the government is turning to AI robots to help address labor shortages in health care, food service, and hospitality.
To support this effort, the NSTC proposed the “Smart Robot Industry Promotion Plan,” aiming to increase Taiwan’s industrial robotics output from NT$4 billion to NT$50 billion within five years. In tandem, the Ministry of Economic Affairs and NSTC plan to launch smart products for medical care, logistics, and the hotel and catering industries.
Wu said Taiwanese companies have strong manufacturing capabilities and decades of experience in producing components for industrial robots. However, most are currently limited to making parts for robotic arms, which require pre-programmed instructions. In contrast, the future lies in multifunctional robots powered by AI that can learn, reason, and communicate — essentially functioning more like humans.
While companies such as Nvidia and Tesla are developing their own multifunctional robots, Taiwan supplies many of the necessary components. With government backing, Taiwan aims to evolve from component supplier to full smart robot manufacturer.
Wu said Taiwan’s major manufacturers are already well-versed in the OEM business model and ready to scale. The government plans to provide guidance and capital while maintaining a shareholder role with board representation, similar to its early involvement in TSMC. It will not intervene in day-to-day business operations.
He added that having a government-led entity will help reassure international customers that manufacturers are not trying to poach business or technology, enabling smoother collaboration.
An intelligent robot R&D base will be established at the Industrial Technology Research Institute’s Southern Region Campus in Tainan’s Liujia District, with mass production planned for the nearby Liuying Science and Technology Industrial Park. The government hopes to develop a local industrial cluster that attracts investment from firms specializing in sensors, machine tools, and electronics.
Wu emphasized that the “brain” of multifunctional robots depends on chips — a core strength of Taiwan’s tech sector. He said Taiwan’s top IT companies have all expressed interest in cooperating on the initiative.
