Analysis: The Whys Behind Taiwan's Decline in New Investment to China
Taiwan’s investments in China hit a record low, with China receiving 0.86% of Taiwan’s new outbound investment in the first five months of 2026. Meanwhile, Taiwan’s overseas investment surged past US$35 billion, driven by TSMC and AI supply chains, marking a sharp shift from China’s dominance in the 2010s. TaiwanPlus spoke with Kristy Hsu, Director of the Taiwan ASEAN Studies Center at Taiwan’s top think tank CIER, to find out more behind the trend.















