TAIPEI (Taiwan News) — Taipei City said it will terminate the development-rights contract with Shin Kong Life Insurance for two plots designated for Nvidia’s headquarters.

On Sunday, Deputy Mayor Lee Shu-chuan (李四川) said proceedings to end the agreement for the T17 and T18 plots in the Beitou–Shilin Technological Park would begin Monday, per UDN. With the expiration of terms between Nvidia and Shin Kong and significant development delays, the city has legal grounds to start termination, Lee said.

On Friday, Mayor Chiang Wan-an (蔣萬安) said terminating the agreement is necessary to ensure future use of the site. He added the matter should be expedited ahead of the planned Shin Kong–Taishin Financial merger slated for 2026.

The mayor said Nvidia and the city are discussing other options if talks remain stalled. If Shin Kong delays further, Taipei is prepared to file for two alternative locations for the Nvidia project, per UDN.

TS Financial Holdings General Director Lin Wei-jiun (林維俊) signaled support for resolving the issue to keep Nvidia in Taipei. Reports said Shin Kong has agreed to negotiate compensation for ending the development-rights contract.

Minister of Economic Affairs Kung Ming-hsin (龔明鑫) said Nvidia still prefers the T17 and T18 sites, per UDN. The central government, Taipei City, and TS Financial Holdings will continue discussions with Nvidia over use of the site in the coming months.