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Taiwan-Invested Company Formation in Vietnam: Complete Guide 2026

The shift of manufacturing and supply chains to Southeast Asia has driven a significant surge in Taiwan investment in Vietnam. With strategic geographic advantages, well-developed industrial parks, competitive production costs, and robust policies to attract foreign direct investment, Vietnam stands out as a prime destination. This is particularly true for electronics, mechanical engineering, textiles, and high-tech sectors. However, investors must navigate specific legal procedures to successfully set up a business.

Our Taiwan-invested company formation in Vietnam: complete guide 2026 provides comprehensive insights into these requirements. This article details the essential steps, including applying for an Investment Registration Certificate (IRC), conducting FDI company registration Vietnam, opening a direct investment capital account, and satisfying market access conditions for a foreign invested company Vietnam.

Table of Contents

Investment status of Taiwanese enterprises in Vietnam

Taiwan currently ranks among the top foreign investors in Vietnam. According to investment management authorities, there are nearly 3,200 Taiwan investment in Vietnam projects with a total registered capital of approximately 39-40 billion USD, placing Taiwan in the group of the largest investors in the country.

Recently, Cooler Master Corporation (Taiwan), a computer hardware manufacturer, invested around 200 million USD in Bac Ninh province and is planning to increase its total investment in Vietnam to approximately 3 billion USD.

Vietnam is also recognized as a crucial destination in the global supply chain diversification strategy of Taiwanese enterprises, especially in the technology and electronics sectors.

Prominent Taiwan-invested companies in Vietnam

Many large Taiwanese corporations have invested in and built manufacturing plants in Vietnam, notably:

Prominent Taiwan-invested companies in Vietnam

Foxconn Vietnam

Foxconn is a massive Taiwanese electronics manufacturing conglomerate specializing in outsourcing products for global tech brands like Apple. In Vietnam, Foxconn operates multiple factories in Bac Giang and Bac Ninh, producing electronic components and technological devices.

Pegatron Vietnam

Pegatron is one of Taiwan’s leading electronic device manufacturers, with a large-scale investment project in Hai Phong. This enterprise specializes in producing electronic components, computer equipment, and telecommunications devices.

Compal Electronics

Compal Electronics is a Taiwanese computer and electronic component manufacturing corporation. The company has invested in a major manufacturing project in Vinh Phuc, contributing to the advancement of the electronics industry in Vietnam.

These enterprises demonstrate the strong trend of Taiwanese businesses investing in the manufacturing and high-tech sectors in Vietnam.

Popular sectors for Taiwan investment in Vietnam

Under the Law on Investment 2025 and Vietnam’s international commitments under the WTO and free trade agreements (FTAs), Taiwanese investors are permitted to invest in a wide range of business lines in Vietnam. However, for certain sectors, Taiwanese enterprises must satisfy market access conditions applicable to foreign investors. These conditions include foreign ownership limits, licensing requirements, operational scope, or appropriate investment forms.

In practice, Taiwan investment in Vietnam heavily concentrates on manufacturing and processing industries due to competitive labor costs, favorable geographical locations, and rapidly developing industrial park systems. Many large Taiwanese corporations have chosen Vietnam as a manufacturing hub to expand their global supply chains.

Popular sectors for Taiwanese investors in Vietnam include:

  • Processing and manufacturing industries;
  • Electronics and electronic components;
  • Electrical equipment, mechanical engineering, and high-tech industries;
  • Textiles, footwear, and supporting industries;
  • Furniture, plastics, and packaging manufacturing;
  • Logistics, warehousing, and supply chains;
  • Renewable energy and environmental technology.

Currently, establishing a Taiwan manufacturing company Vietnam is the most common investment model, particularly in provinces with large industrial parks such as Bac Ninh, Bac Giang, Hai Phong, Dong Nai, Binh Duong, and Long An. Beyond manufacturing, many Taiwanese enterprises are expanding investments into commerce, technology, logistics services, and supporting industries to leverage advantages from the free trade agreements Vietnam has joined.

Common risks during Taiwan company setup Vietnam

  • Selecting incorrect CPC codes or industry codes
  • Failing to open a capital account
  • Contributing capital past the statutory deadline
  • Leasing invalid addresses or factory locations
  • Lacking sub-licenses required for operation: Fire prevention and fighting, environmental permits, etc.

Basic steps for FDI company registration Vietnam

To establish a foreign invested company Vietnam, investors must complete all legal procedures related to foreign investment, enterprise registration, and post-establishment obligations. In practice, the process of FDI company registration Vietnam typically involves three critical steps:

Step 1: Apply for the Investment Registration Certificate (IRC)

Before establishing an enterprise, Taiwanese investors must apply for an Investment Registration Certificate for the investment project in Vietnam.

  • The application dossier is submitted to the Department of Planning and Investment or the Management Board of the industrial park, export processing zone, or high-tech park where the project will be implemented.
  • The processing time is approximately 10 working days from the date the competent authority receives a valid dossier.

Step 2: Register the enterprise establishment (ERC)

Upon receiving the IRC, the Taiwanese investor proceeds with the enterprise registration procedure to obtain the Enterprise Registration Certificate (ERC).

  • The enterprise registration dossier is submitted to the Business Registration Office under the Department of Planning and Investment where the enterprise’s head office is located.
  • The sequence and application for enterprise registration are conducted in accordance with:
    • The Law on Enterprises 2020, amended and supplemented in 2025;
    • The Decree 168/2025/ND-CP on enterprise registration.
  • The processing time is 03 working days from the receipt of a valid dossier.

Step 3: Conduct post-establishment procedures for the company

After being granted the ERC, the foreign invested company Vietnam must complete further legal procedures to officially commence operations, including:

  • Publishing the enterprise registration content on the National Business Registration Portal;
  • Applying for business licenses for conditional business lines (if applicable);
  • Engraving the enterprise’s legal seal;
  • Opening a direct investment capital account at a bank;
  • Executing tax registration, issuing electronic invoices, and fulfilling related financial obligations.

Procedures for capital contribution and share purchase in a Vietnamese enterprise

In addition to establishing a new enterprise, Taiwanese investors can also opt to contribute capital, purchase shares, or buy capital contributions in an existing Vietnamese enterprise.

Registration of capital contribution and share purchase

Cases requiring registration

Under Clause 3, Article 21 of the Law on Investment 2025, a foreign investor must perform the procedure to register the capital contribution, share purchase, or purchase of capital contributions in an economic organization prior to changing members or shareholders if falling into one of the following cases:

Cases requiring registration

  • The capital contribution, share purchase, or purchase of capital contributions increases the ownership ratio of foreign investors in an economic organization operating in conditional market access business lines applied to foreign investors;
  • The capital contribution, share purchase, or purchase of capital contributions results in a foreign investor or economic organization holding more than 50% of the charter capital of the economic organization in the following scenarios: increasing the foreign ownership ratio from less than or equal to 50% to over 50%; or increasing the foreign ownership ratio when the foreign investor already owns more than 50% of the charter capital in the economic organization;
  • The foreign investor contributes capital, purchases shares, or purchases capital contributions in an economic organization holding a Certificate of Land Use Rights on an island, in a border commune/ward/township, in a coastal commune/ward/township, or in other areas affecting national defense and security.

Application dossier for capital contribution and share purchase

According to Clause 3, Article 76 of Decree 96/2026/ND-CP guiding the Law on Investment, the dossier includes:

  • A registration document for capital contribution, share purchase, or purchase of capital contributions;
  • Copies of legal documents of the individual/organization contributing capital or purchasing shares, and of the economic organization receiving the foreign investment;
  • An agreement in principle on the capital contribution, share purchase, or purchase of capital contributions between the foreign investor and the target economic organization, or between the foreign investor and the shareholders/members of that organization;
  • A copy of the Certificate of Land Use Rights of the target company (if any).

Competent authority

  • Management Boards of industrial parks, export processing zones, high-tech parks, and economic zones: For the following investment projects: Projects on construction and commercial operation of infrastructure in industrial parks, export processing zones, high-tech parks, and functional areas within economic zones; Investment projects executed within industrial parks, export processing zones, high-tech parks, and economic zones.
  • Department of Planning and Investment: For investment projects located outside industrial parks, export processing zones, high-tech parks, and economic zones.

Processing time

Within 10 working days from the receipt of a valid dossier, the investment registration authority examines the conditions for capital contribution or share purchase and notifies the investor. The written notice is sent to the foreign investor and the economic organization receiving the investment.

Procedures after approval of capital contribution and share purchase

  • Carry out the procedure to change members or shareholders at the business registration authority in accordance with the Law on Enterprises 2020, amended in 2025.
  • Perform the procedure to apply for an Investment Registration Certificate for business lines requiring it (e.g., training, educational services, etc.). Prior to applying for the IRC, the investor must declare online the investment project information on the National Foreign Investment Information System. For investment projects not subject to investment policy approval, within 10 days from the receipt of a complete dossier, the investment registration authority shall issue the IRC; in case of refusal, it must notify the investor in writing and clearly state the reasons.

Estimated costs for Taiwan company setup Vietnam (for your reference)

Item Estimated Cost Note
Applying for the Investment Registration Certificate (IRC) 20 – 80 million VND Depends on business line and FDI project scale
Enterprise registration publication fee 100,000 VND Mandatory
Company seal engraving 300,000 – 500,000 VND Depends on seal type
Digital signature 1 – 3 million VND/year For electronic tax filing
Electronic invoice 500,000 – 2 million VND Depends on usage package
Translation & notarization of documents 2 – 10 million VND Depends on document volume
Consular legalization of Taiwanese documents 90 – 130 USD/document Applicable to foreign documents
Opening a direct investment capital account Usually free Subject to bank policy
Office/Industrial park leasing 15 – 50 million VND/month Depends on location
Comprehensive FDI company formation service 25 – 120 million VND Depends on capital scale and business lines

Total actual costs for forming a Taiwan-invested company

For standard trading, consulting, or service companies, the total cost usually ranges from 25 to 45 million VND. For a Taiwan manufacturing company Vietnam, the costs will generally be higher with more stringent requirements.

How to optimize costs for a foreign invested company Vietnam

To reduce the cost of Taiwan company setup Vietnam, investors should:

  • Select appropriate business lines from the beginning;
  • Prepare complete consular legalization dossiers;
  • Choose a location that complies with zoning plans;
  • Conduct market access condition research prior to submitting the dossier;
  • Utilize professional FDI formation consulting services to avoid multiple dossier revisions.

Why do Taiwanese enterprises choose to invest in Vietnam?

  • Competitive labor costs
  • Proximity to China and Taiwan
  • Vietnam’s participation in numerous FTAs
  • Well-developed industrial park infrastructure
  • Tax incentives
  • Supply chain shifting

Key considerations for Taiwan company setup Vietnam

During the investment procedure in Vietnam, Taiwanese investors must note several legal issues:

  • It is mandatory to open a direct investment capital account at a bank to conduct capital contribution in compliance with foreign exchange management regulations;
  • Capital contributions must be executed precisely within the statutory time limit recorded in the Enterprise Registration Certificate;
  • Certain business lines require sub-licenses prior to commencing business operations;
  • Large-scale manufacturing projects may be required to conduct an environmental impact assessment (EIA) in accordance with environmental legislation.

Frequently asked questions about Taiwan investment in Vietnam

Can Taiwanese investors establish a 100% foreign-owned company in Vietnam?

Yes. Under the Law on Investment 2025 and WTO commitments, Taiwanese investors are permitted to establish a 100% foreign-owned company in Vietnam for numerous business lines. However, certain sectors still apply market access conditions or foreign ownership limits.

How long does it take to establish a Taiwan-invested company in Vietnam?

Typically, the timeline includes:

  • Applying for the Investment Registration Certificate (IRC): approximately 10-15 working days;
  • Registering the enterprise (ERC): approximately 03-05 working days.

The total practical time usually ranges from 15 to 30 days depending on the business line, investment location, and the Taiwanese investor’s dossier.

What is the cost of setting up a Taiwan-invested company in Vietnam?

The cost of Taiwan company setup Vietnam depends on the investment sector, project scale, execution location, and required licenses. Typically:

  • Trading and service companies: around 25-50 million VND;
  • Manufacturing companies and FDI factories: from 50-120 million VND or higher depending on the project and industrial park.

What does the application dossier for a Taiwan-invested company include?

The basic dossier usually includes:

  • Passports or business licenses of the Taiwanese investor;
  • Documents proving financial capacity;
  • Location lease agreement;
  • Investment project proposal;
  • Legal documents consularly legalized according to Vietnamese regulations.

For manufacturing enterprises, environmental dossiers or technical project documents may be additionally required.

Are Taiwanese investors required to open a direct investment capital account?

Yes. After completing FDI company registration Vietnam, the enterprise must open a direct investment capital account at a bank to receive capital contributions, transfer profits, and conduct investment transactions in compliance with foreign exchange management regulations.

Should Taiwanese investors establish a new company or contribute capital to a Vietnamese enterprise?

It depends on the investment objective. If the goal is to proactively manage and build a private factory, establishing a new foreign invested company Vietnam is the preferred choice. Conversely, contributing capital or purchasing shares in a Vietnamese enterprise is suitable for rapidly expanding business operations or leveraging an existing operational system in Vietnam.

Support services for a Taiwan company setup Vietnam

The demand for establishing Taiwan-invested companies in Vietnam is rising rapidly as many Taiwanese enterprises expand production, shift supply chains, and invest in factories across Vietnamese industrial parks. However, the procedure for establishing a Taiwanese FDI company is relatively complex, involving the Law on Investment, the Law on Enterprises, market access conditions for foreign investors, and various specialized regulations. Therefore, many investors choose to utilize Taiwan company setup Vietnam services to save time, optimize costs, and mitigate legal risks during the investment process.

Support services for Taiwanese investors include:

  • Consulting on business lines permitted for Taiwan investment in Vietnam;
  • Consulting on conditions for establishing a foreign-invested company;
  • Drafting the application dossier for the Investment Registration Certificate (IRC);
  • Executing the FDI company registration Vietnam procedure and applying for the Enterprise Registration Certificate (ERC);
  • Assisting in establishing a Taiwan manufacturing company Vietnam within industrial parks;
  • Consulting on procedures for capital contribution and opening a direct investment capital account;
  • Applying for business licenses for conditional business lines;
  • Advising on tax, accounting, and labor matters for foreign-invested companies;
  • Supporting post-establishment procedures for FDI enterprises in Vietnam.

With extensive experience in foreign investment consulting and legal support for numerous FDI projects in Vietnam, Viet An Law provides comprehensive services for setting up Taiwan-invested companies. Our support covers the entire lifecycle, from sector consultation and document preparation to enterprise registration and finalizing post-establishment legal procedures. If investors require consultation on establishing a Taiwanese FDI company, please contact Viet An Law for prompt, effective support in strict compliance with current laws.

To review all critical requirements, please refer back to our Taiwan-invested company formation in Vietnam: complete guide 2026.

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