TAIPEI (Taiwan News) — Tainan's Southern Taiwan Science Park could exceed an annual output of NT$4 trillion (US$124.8 billion) this year, Premier Cho Jung-tai (卓榮泰) said Saturday.

Last year, the park welcomed 21 new companies, bringing the total to 254 high-tech firms. This growth has been driven in part by TSMC’s fab expansions, which have attracted talent, investment, and additional companies, according to Housefeel.

Tainan is accelerating development in advanced semiconductors, AI, and intelligent robotics as the industrial chain restructures. The city government is also guiding traditional industries to adopt AI applications and digital transformation to strengthen local industry.

To support these efforts, the city opened the AI Innovation Application Building at Tainan’s Shalun Smart Green Energy Science City on Saturday, creating a hub for collaboration between government, industry, and research. The National Science and Technology Council will also establish its southern office in the building, further strengthening integration, according to CNA.

The facility, together with ongoing developments in the area, is expected to eventually reach an annual output of NT$2.2 trillion and create 35,000 jobs. Cho described southern Taiwan as a hub for artificial intelligence, with Shalun at its core, already equipped for research and development verification and industrial applications.

Cho said Shalun shows strong potential for future growth. As more companies and tech professionals settle in, the government plans to introduce smart dining, healthcare, and childcare services to support young families living and working in the park.

He emphasized that under President Lai Ching-te’s (賴清德) vision of balanced economic growth, industrial competitiveness should not rely on a single sector or region. Taiwan is gradually developing six regional industrial and living clusters.