Non-Military Procurement
Taiwan acceded to the World Trade Organization’s (WTO) Government Procurement Agreement (GPA) in July 2009. According to Taiwan’s GPA Agreement, U.S. firms will compete on equal terms with domestic firms when Official tenders exceed the following thresholds:
- Central Officials contracts: US$194,000 for goods and services and US$7.45 million for construction services.
- Municipal Officials contracts: US$296,000 for goods and services and US$7.45 million for construction services.
- Other State-owned entity (public utilities, public universities etc.) contracts: US$593,000 for goods and services and US$7.45 million for construction services.
According to Taiwan’s Public Construction Commission (PCC), in 2022, foreign firms won 1,109 contracts under the GPA worth US$4.93 billion, accounting for 25.06% of all GPA procurement contracts awarded. U.S. firms alone won contracts worth US$1.01 billion. Most of the procuring entities were public agencies and state-owned enterprises, hospitals, and universities.
In response to foreign companies’ concerns about maintaining fairness in contractual obligations, Taiwan’s PCC has prepared a model contract template as a reference for official procuring entities which can be found on the Taiwan Public Works Commission’s website. The conditions in this model contract are the same for all bidders, domestic or foreign.
The best public sector procurement prospects identified for U.S. firms are in the following sectors:
- Advanced laboratory instrumentation and testing devices
- Equipment for power generation & environmental protection (such as carbon sequestration systems)
- Specialty chemicals such as additives and catalysts
- Equipment for aviation controls
- Equipment for atmospheric monitoring
- Advanced medical devices.