Theconstruction industry is a critical component in theeconomy of Taiwan, underpinning infrastructure, urban development, and housing projects. In Q1 2025,Gross Domestic Product (GDP) from construction reachedNT$186 billion, marking a significant increase from NT$138 million in Q4 2024. In 2023, the total market value of Taiwan’s construction sector was estimated at USD 56.6 billion, with forecasts projecting growth to USD 74.3 billion by 2030 at acompound annual growth rate (CAGR) of 3.4%.[1] From 2020 to 2024, the industry expanded at a CAGR of 6.1%, with expectations to maintain around 4% annual growth through 2029.[2] In 2022 alone, non-residential construction accounted for approximately 69.7% of total industry revenue, equating to USD 54.65 billion.[3]
Taiwan's construction sector includes new builds, renovations, and infrastructure projects, funded by both public and private investments. Housing and commercial development dominates, while major public works—like bridge construction and mass transit systems—represent significant long-term investments. The industry is supported by over 40,000 licensed construction firms as of 2022, with the largest projects often carried out by conglomerates or state-affiliated contractors.
Public sector projects account for about 30% of spending, reflecting Taiwan’s active role in infrastructure planning such as transportation and flood prevention. Private investment fuels residential high-rises and commercial complexes, especially in metropolitan areas likeGreater Taipei,Kaohsiung, andTaichung. Industry output fluctuates but has shown consistent growth, with notable increases following major floods and economic stimulus packages.[4]
According toTaiwan News, Taiwan has one of the highest home ownership rates in the world, with almost 85% of Taiwanese own their homes.[5]
Taiwan’s construction industry has adopted modern practices such as seismic design, sustainability standards, and digital building technology (BIM). Building codes, especially after major earthquakes like the1999 Jiji earthquake, have been regularly updated to enhance structural resilience, requiring reinforced concrete, base isolation systems, and strict inspections. The government promotes green building via subsidies and certifications (e.g.,EEWH). BIM and prefabricated components ("modular construction") are encouraged to improve quality control, reduce labor shortages, and shorten schedules.[6]
Taiwan is investing heavily in infrastructure projects: notable undertakings include theTaichung MRT Blue Line (~USD 5 billion),Taipei Circular Line, and the large-scaleTaoyuan Aerotropolis project. The Danjiang Bridge—designed by Zaha Hadid—is also underway, expected to open in 2026. Offshorerenewable energy initiatives like theGreater Changhua Offshore Wind Farms andGuantang LNG Terminal support environmental goals and energy diversification. Strategic adoption of digital tools likeBuilding information modeling (BIM) aims to improve efficiency across projects. However, permit delays, regulatory inconsistencies, and environmental review processes continue to pose challenges, while seismic events have occasionally stalled progress.
Significant milestones chart Taiwan’s post-war construction growth:
Taiwan’s construction industry operates under strict safety regulations modeled on global best practices, legal reforms and mandatory inspections implemented. Taiwan enforces rigorous seismic standards dating to the 1970s, which mandate base isolation, structural redundancy, and mandatory retrofitting programs.[9] Worker safety is monitored through the Occupational Safety and Health Administration, with recent emphasis on preventing falls, improving machinery safety, and enhancing training.
