Taiwan has long leveraged its manufacturing strengths to carve out a place in the global supply chain. Now, it is going further. With research and development reach expanding overseas, the country is shifting from contract manufacturing to joint innovation. The UK-Taiwan Innovative Industries Programme (I2P), run under the British Office Taipei and ITRI, has hit a record scale in 2026, with 17 research and development teams taking part in bilateral exchanges.

Driven by AI applications boosting advanced processes, HBM, and packaging technologies, demand for key materials like silicon wafers and photoresists has surged. Topco Scientific (TSC) has announced plans to focus on high-growth sectors such as AI, automotive, and data centers in 2026, targeting sustained double-digit growth.

Benefiting from rising demand across the server and industrial PC (IPC) markets, Allied Circuit (ACCL), a PCB manufacturer backed by Compal, reported that its new capacity added in 2025 has fully come online. Now running at full capacity, ACCL's monthly revenue contribution stands at approximately NT$500 million (US$15.7 million). The company plans to continue removing production bottlenecks in 2026 and expects second-half revenue performance to surpass the first half.

Taiwan built its technology identity on two pillars: semiconductors and display panels. One has thrived. The other is reinventing itself.

Intel is reportedly preparing large-area AI chip packaging to strengthen its foundry business and challenge TSMC and Samsung Electronics.

Lumotive, a pioneer in programmable optical semiconductor technology, has demonstrated the world's first programmable two-dimensional (2D) photonic beamforming chip. Built on its Light Control Metasurface (LCM) architecture, the chip enables electronic control of light across two dimensions within a single device — a capability long pursued in optical science and widely considered essential for scalable programmable optical systems.

Nvidia's GTC 2026 is well underway, with the event reaching a record scale as among the major annual events in the AI landscape. Despite a packed schedule, CEO Jensen Huang attended the conference's "Taiwan Night" on March 18 (local time) to engage with Taiwanese partners and express his appreciation for their work.

The 2026 Nvidia GTC keynote signaled a clear industry shift toward inference. CEO Jensen Huang declared that "training is just the beginning — inference is the core battleground for AI commercialization." Attendees expected AI agents to dominate the event's agenda.

Samsung Electro-Mechanics (Semco) is reportedly supplying multilayer ceramic capacitors (MLCC) for low Earth orbit (LEO) satellites to the world's largest private aerospace company. According to industry sources, this expansion from the automotive and industrial sectors into aerospace is a significant step for the company, as it demonstrates that its components have gained global recognition for durability and reliability.

As fighting in the Middle East continues, the closure of the Strait of Hormuz has sent shockwaves through global energy and petrochemical markets. The disruption is already rippling across supply chains, prompting manufacturers such as Shin-Etsu Chemical to scale back production of ethylene-based products and raise domestic polyvinyl chloride (PVC) prices in Japan by roughly 20%.

Fitpower officially inaugurated its new office in Puchong Financial Corporate Center (PFCC), Selangor, Malaysia, this week, marking the launch of its Malaysian subsidiary. The move expands Fitipower's global R&D footprint and deepens collaboration within Southeast Asia's semiconductor supply chain.