Taiwan has launched a sweeping investigation into 17 Chinese firms accused of illegally poaching high-tech talent, particularly from its semiconductor industry. Authorities conducted raids across multiple cities, questioning over 100 individuals and uncovering evidence of unlicensed operations aimed at recruiting Taiwanese engineers.
Scope of the Investigation
Between July 13 and August 4, 2026, Taiwan’s Investigation Bureau mobilized more than 330 agents to search 64 locations and interview 114 people. The probe targeted Chinese companies suspected of setting up unlicensed offices and disguising themselves as Taiwanese or foreign firms to lure local talent.
Companies Under Scrutiny
The firms include several publicly listed Chinese tech companies, such as:
ACM Research Shanghai – semiconductor equipment maker
Goke Microelectronics – IC designer
Zhuhai CosMX Battery – consumer battery supplier
Actions Technology – chip designer
Guangdong Saiwei Microelectronics and Zhuhai Guanyu Battery – major electronics firms with global reach
Taiwan’s Concerns
Taiwan, a global semiconductor powerhouse, fears that the illegal recruitment of engineers could erode its competitive edge in chip design and manufacturing. Officials stressed that Chinese companies are exploiting loopholes by posing as foreign investors and using consultancy firms to mask their recruitment activities.
Legal and Geopolitical Context
Taiwanese law prohibits Chinese investment in parts of the semiconductor supply chain, including chip design, and requires strict reviews for other areas such as packaging.
The raids highlight Taiwan’s broader effort to protect its strategic industries amid intensifying competition with China, which claims sovereignty over the island.
This investigation follows similar crackdowns earlier in 2026, showing Taipei’s determination to safeguard its AI and semiconductor talent pool