TAIPEI (Taiwan News) — The Ministry of Transportation and Communications announced that Taiwan's free trade zones reached NT$3 trillion (US$92.3 billion) in trade value last year, CNA reported on Tuesday.

The ministry’s Department of Navigation and Aviation Director-General Han Chen-hua (韓振華) said that sectors such as AI and semiconductors drove significant growth. The figure exceeds 2023's NT$1.9 trillion, an increase of more than 50%.

Free trade zones are areas within a district of an international seaport or airport approved by the Cabinet. Within these zones, enterprises can engage in trading, logistics, customs clearance, transshipment, manufacturing, and testing without being subject to import and export regulations and customs requirements.

The ministry is advancing the zone development at six key Taiwanese ports, including Taipei, Taichung, Kaohsiung, and Taoyuan International Airport. Taoyuan Airport is home to 33 operators, while 85 companies are based at the seaports, with air cargo accounting for 80% of the trade value.

The ministry said the zone in Taoyuan saw its trade value reach NT$2.4 trillion, a nearly 80% increase from last year. Cargo volume also grew by almost 30%, reaching 3.4 million tonnes.

The ministry invested NT$3.25 billion to expand factory facilities at Taoyuan's free trade zone. The project, set for completion by year-end, is expected to create 600 jobs and generate NT$300 billion in trade value.

The cold chain logistics warehouse at Taoyuan's free trade zone was certified by the International Air Transport Association in June. An express warehouse, launched in July, provides cross-border e-commerce logistics services.

Trade value at Taiwan's seaport free trade zones reached NT$635.6 billion last year, a 6% increase from 2023. Cargo volume grew by over 30%, reaching 6.31 million tonnes.

Han added that Kaohsiung Port's seventh container terminal incorporates automation, 5G communication, and remote control systems. The smart vehicle park at Taipei Port, scheduled to open by year-end, is expected to generate NT$127 billion in output.