Kaohsiung's Baipu Industrial Park to boost Taiwan's semiconductor ecosystem, Lai says

President William Lai broke ground on the Baipu Industrial Park in Kaohsiung, a nearly 89-hectare site that will create over 4,000 jobs and generate NT$300 billion in annual production value. The park will host TSMC facilities and is expected to become Taiwan's first semiconductor base focused on de

President William Lai (賴清德) said at the groundbreaking ceremony yesterday that Kaohsiung's Baipu Industrial Park (白埔產業園區) would bolster Taiwan's semiconductor ecosystem, balance north-south development and boost the country's global competitiveness.

The nearly 89-hectare park would create more than 4,000 jobs and generate about NT$300 billion (US$9.45 billion) in annual production value, marking a new milestone for Taiwan's semiconductor industry, Lai said.

With artificial intelligence applications and high-performance computing expanding rapidly worldwide, advanced integrated circuit assembly services have become increasingly important to the industry's competitiveness, he said.

The park would draw on cooperation among the Ministry of Economic Affairs, the Kaohsiung City Government and major semiconductor companies, including Taiwan Semiconductor Manufacturing Co (TSMC, 台積電), Lai said.

Earlier this month, TSMC announced plans to develop a 3-hectare site in the industrial park, with two buildings housing modular facilities that can be reconfigured as technology evolves. The site is to include small cleanrooms and laboratories for testing and joint development of advanced assembly technologies, equipment and materials, as well as a training center for highly skilled specialists in semiconductor processes and equipment, TSMC said.

Construction of two campuses at Baipu Industrial Park, including two TSMC facilities, would be completed in the fourth quarter of 2029, the Kaohsiung Economic Development Bureau said. The park's entire infrastructure is expected to be completed by 2031, it added.

Also present at the groundbreaking were Minister of Economic Affairs Kung Ming-hsin (龔明鑫), Minister of the Interior Liu Shyh-fang (劉世芳) and Kaohsiung Mayor Chen Chi-mai (陳其邁), as well as representatives from TSMC, ASE Technology Holding Co (日月光投控) and Hon Hai Precision Industry Co (鴻海精密), also known as Foxconn Technology Group (富士康).

Lai said the park aims to become Taiwan's first semiconductor base focused on developing, testing and certifying critical semiconductor equipment and raw materials. The development is expected to shorten the time needed to introduce new technologies and help Taiwanese companies establish a foothold in the global supply chain, he said.

Once completed, Baipu Industrial Park would complement an IC assembly and testing cluster at Kaohsiung's Renwu Industrial Park (仁武產業園區) and another cluster focused on critical raw materials and other key components at the city's Ciaotou Science Park (橋頭科學園區), Lai said. Baipu would also complete southern Taiwan's semiconductor S-corridor project, with Kaohsiung at its core, he said.

Addressing concerns about water shortages, Lai said the government has launched the "pearl string project" to connect reservoirs through Taiwan via interregional pipelines to boost reserve water capacity. Facilities such as water purification and desalination plants would be developed, providing greater flexibility in water management, he said.

On electricity consumption, Lai said state-owned Taiwan Power Co has agreed to a plan to build an electricity distribution network in Baipu Industrial Park to ensure stable power supply.