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*An Introduction to the Hsinchu Science Park

The Ministry of Science and Technology set up the Hsinchu Science Park (HSP), the first establishment of its kind in Taiwan, on December 15, 1980. By ushering in technologies and talent from abroad, bringing about the transformation of domestic conventional industry, and fostering the upgrade of industrial technology across the board, the park is intended to help high-tech industry take off in Taiwan.

Straddling the city and county of Hsinchu, the 6.5-square kilometer HSP now mainly houses semiconductor and optoelectronics ventures. More than 520 tenant companies employ more than 150,000 people. For the past three years, HSP companies posted an annual average of more than NT$1 trillion in revenue, which tends to fluctuate in tandem with the ups and downs in the global economy. Over the years HSP companies have been approved to invest more than NT$1 trillion. The close dependence of tenant companies on the Industrial Technology Research Institute, National Tsing Hua University and National Chiao Tung University can be easily illustrated by the fact that more than 50 of them have emerged as spinoffs from the aforementioned institutions. The high concentration of high-caliber talent at the HSP is only to be expected. Those who are devoted to R&D and technology development account for 40% of the HSP’s overall workforce, with the remaining 60% taken by people engaged in production, management, marketing, etc. In terms of educational levels, around 79% of HSP employees have junior college or higher degrees, which compares with 18% registered by Taiwan’s overall manufacturing sector. Some 66% of HSP employees own a university above diploma while the ratio is only 7% for the broader manufacturing sector. Additionally, more than 45,000 master’s degree holders and 3,900 with doctorate degrees now work at the HSP. Of the total, more than 4,000 have returned from abroad to start their own businesses in Taiwan.

Imaging that a piece of land sharing less than 0.04% of land in Taiwan but creating global high-tech industry records from times to times, the Hsinchu Science Park generates an annual revenue of more than 33 billion USD over the past five years and enjoys its global reputation as a brilliant science park. The Hsinchu Science Park has cultivated a number of high-tech talent and global flagship IT enterprises over the past three decades, e.g. the largest IC foundry provider TSMC, the second largest IC foundry provider UMC, the third largest TFT-LCD maker CHIMEI INNOLUX, the fourth largest TFT-LCD maker AUO, the second largest mobile phone chipset maker and the third largest IC designer MediaTek, the third largest NOR Flash IC maker Macronix, and the largest Polymeric Positive Temperature Coefficient (PPTC) components manufacturer Polytronics Technology Corp., which solidifies the position of the Hsinchu Science Park in global IT industries. Besides, the Park also includes a number of renowned foreign companies, e.g. the largest plasma etching equipment maker Lam Research, the second largest IC equipment maker TEL, the third largest optical lens maker HOYA, etc. The Hsinchu Science Park is constantly extending its industry capacity as well as competence in semiconductor, opto-electronics, information, and telecommunications industries. Thus, more than 70% of global IT industry products are initiated from companies at the Hsinchu Science Park. As a venue full of chances, the Hsinchu Science Park has turned out to be the first choice of high-tech industry investment globally.

The past three decades have seen the HSP attain the strategic goal of luring high-tech investments. By putting in place an internationally competitive environment for Taiwan’s high-tech industry, it has helped induce an across-the-board upgrade of domestic industry and foster expansion of the national economy. In addition to stimulating R&D on the science and technology front, benefits are enjoyed in many other respects—creating clusters of industrial ventures, cultivating talent, brining prosperity to local communities and enhancing the nation’s overall cultural awareness. Furthermore, the success of the HSP is now being copied at the CTSP and STSP as well as its various satellite parks.

Maintenance: Investment Division
  Last Update:2020-06-01
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