Illegal Poaching of High-Tech Talent in Taiwan: 17 Chinese Companies Under Investigation

Semiconductor chips are seen on a printed circuit board in this illustration picture taken February 17, 2023.

[People News] The Taiwan Ministry of Justice Investigation Bureau announced on Wednesday (August 5) that it has been investigating 17 Chinese-funded enterprises since mid-July for allegedly illegally poaching high-tech talent from Taiwan, with the intent of undermining Taiwan's core competitive advantages.

As reported by Voice of America, the Investigation Bureau highlighted in a press release on its official website that the global AI wave is significantly reshaping the global economy and industrial landscape, with countries dedicating substantial resources to AI technology research and development. The strengths of Taiwan's semiconductor manufacturing and integrated circuit design industries are crucial for competing on the global stage.

The Investigation Bureau pointed out that Taiwan's industries have recently been facing challenges due to core high-tech talent being targeted and poached by Chinese enterprises, resulting in a loss of competitive advantages. To combat illegal poaching and business activities by Chinese companies in Taiwan, the Investigation Bureau launched a special investigation project at the end of 2020 and has since handled over a hundred cases.

The Investigation Bureau stated that after thorough evidence collection, they have conducted simultaneous investigations into 17 Chinese companies illegally involved in poaching high-tech talent in Taiwan from July 13 to August 4, 2026. It was found that these companies often disguise their identities through methods such as 'using fake Taiwanese or overseas Chinese investments, while actually being funded by mainland capital,' 'establishing unauthorized locations,' and 'disguising employee dispatch through human resource management companies' to illegally recruit high-tech talent in Taiwan.

The investigation bureau has found that several publicly listed companies and Chinese enterprises with international market influence are involved in illegal poaching activities in Taiwan. These include Jiangsu Aoshen Composite Materials Technology Company, Guoke Microelectronics Co., Ltd., Shenzhen Tongrui Microelectronics Technology Company, and Zhuhai Guanyu Battery Co., Ltd.

According to the investigation bureau, the primary methods of involvement for these four companies include operating without authorization or after their permits have been revoked. They have set up private bases in Taiwan and illegally recruited technology talent for business activities.

The 17 companies implicated are involved in critical sectors such as semiconductors, integrated circuit design, chips, composite materials, and batteries. This underscores the growing competition for high-tech talent across the Taiwan Strait and the intensifying global competition in AI.

In a related development, Taiwan's prosecutors announced on July 28 that they had detained an employee of Nvidia, accusing him of smuggling Nvidia chips, which are subject to U.S. export controls, into China. This case is part of a significant criminal investigation into the alleged illegal smuggling of Supermicro's high-end AI servers to mainland China and the Hong Kong and Macau regions.

A spokesperson for Nvidia commented in an email response to Voice of America (VOA) that chip smuggling is "not feasible."

The email stated: "Our products are primarily sold to reputable partners, including original equipment manufacturers, who assist us in ensuring that all sales comply with U.S. export control regulations. Even smaller exporters or freight forwarders face strict scrutiny and regulation globally." △