Southern Taiwan Semiconductor Corridor

Template:Prod llm/dated The Southern Taiwan Semiconductor Corridor or Southern Semiconductor S Corridor (Chinese: 南部半導體S廊帶; Tongyong Pinyin: Nán bù bàn dǎo tǐ S láng dài) is a regional industrial development initiative in southern Taiwan centered on semiconductor production and technology research.

The corridor links science parks, industrial parks, and research centers across Chiayi County, Tainan, Kaohsiung, and Pingtung County in order to establish a new technology industrial cluster in southern Taiwan. The project has been proposed by Kaohsiung mayor Chen Chi-mai and promoted by the Executive Yuan, local governments, and the National Science and Technology Council as part of efforts to expand Taiwan's technology sector in order to promote the country as an "AI island". A secondary aim of this initiative is to correct the nation's historical north–south divide, where wealth, infrastructure, and high-tech industries were heavily concentrated in the north.

The corridor follows an S-shaped route across southern Taiwan. Major sites connected to the project include the Southern Taiwan Science Park, Tainan Science Park and Shalun Smart Green Energy Science City in Tainan, and Renda Industrial Park, Ciaotou Science Park, Kaohsiung Science Park, and Nanzih Technology Industrial Park in Kaohsiung.

History

Discussion of a semiconductor corridor in southern Taiwan emerged during the late 2010s and early 2020s during the Presidency of Tsai Ing-wen as local governments and central agencies promoted new industrial investment in both Tainan and Kaohsiung. Existing science parks in the region, such as Southern Taiwan Science Park and Kaohsiung Science Park, were expanded and additional land was prepared for semiconductor production and research facilities.

In August 2022, TSMC held a groundbreaking ceremony for new fabrication plants in Kaohsiung's Nanzih Technology Industrial Park. Initial plans with production scheduled to begin in 2024 called for production of 28-nanometer chips, with later expansion to more advanced manufacturing processes.

In January 2025, the Executive Yuan approved the "Southern Silicon Valley" initiative. Premier Cho Jung-tai said the project would connect industrial and research facilities across southern Taiwan and support the development of newer technology industries.

In the first half of 2025, the combined revenue of Taiwan's three major science parks reached NT$2.74 trillion, with the Southern Taiwan Science Park contributing over half at NT$1.38 trillion. The advanced packaging plants in Tainan and Chiayi, along with the two-nanometer wafer fab in Nanzih District, Kaohsiung, constitute the advanced computing combination for the AI industry.

Infrastructure

Government planning documents described the corridor as a network combining existing semiconductor facilities with newer research centers and industrial parks. Officials stated that additional infrastructure would be needed to support industrial expansion in southern Taiwan. Measures discussed during Cabinet meetings included upgrades to substations, expanded power generation capacity, water recycling systems, and changes to regional water distribution networks. The project also includes supporting infrastructure such as transportation systems, an under-planning 24-hour airport, water supply facilities, electrical upgrades, housing, schools, and hospitals.

The Executive Yuan also announced plans for new schools, expanded healthcare services, and additional public housing in areas surrounding the corridor as part of the broader regional development program.

Industry

Main articles: Semiconductor industry in Taiwan and Artificial intelligence industry in Taiwan

The corridor has been associated with TSMC, ASE Group, Mediatek, ASML, NXP Semiconductors as well as other domestic and foreign semiconductor firms operating in southern Taiwan. Government statements have described the initiative as part of a broader plan to strengthen industrial capacity in southern Taiwan and support Taiwan's role in global semiconductor supply chains.

Government agencies have also connected the project to research in artificial intelligence, cybersecurity, unmanned aerial vehicle, and smart agriculture. The Industrial Technology Research Institute's "Shalun Green Technology Demonstration Site" in Tainan was described as a location for workforce training and research support for smaller technology firms in collaboration with local universities.

Geopolitical significance

The corridor has been discussed in relation to international semiconductor supply chains and competition between the United States and China in advanced technology industries. Taiwan's semiconductor industry is regarded as strategically important because of its role in producing advanced chips used in consumer electronics and industrial equipment.

Some analysts have linked the expansion of semiconductor production in southern Taiwan to broader efforts by Taiwan and its international partners to improve supply chain stability. The corridor has also been discussed alongside the "Chip 4" framework involving Taiwan, the United States, Japan, and South Korea.

See also

• Economy of Taiwan
• Science and technology in Taiwan
• Semiconductor industry in Taiwan
• North–South divide in Taiwan

References

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