ENIndustry & Investment

Czech Incentives for Taiwanese Companies

Taiwanese companies can access Czech investment incentives and selected research funding when their project qualifies. Here is how the main routes, limits and current calls differ.

P

Predrag Pavič

Author

Share:

A Taiwanese company does not receive a Czech grant simply because it comes from Taiwan. The useful question is whether its specific Czech project qualifies for an investment incentive, a competitive funding call or a bilateral research programme—and whether the application is made at the right time.

Czechia offers several forms of public support for investment and innovation. For Taiwanese companies, the strongest potential fit is usually a defined manufacturing project, technology centre or joint research programme. A sales office or distributor relationship may be a sensible way to enter the market, but it does not automatically qualify for an investment grant.

These routes work differently. An investment incentive may combine tax relief with limited grants. A funding call is a competitive programme with its own deadline and project rules. A bilateral research call supports a joint project, with Czech and Taiwanese partners applying through their respective systems. Mixing these up can make a promising expansion plan look better funded than it really is.

Which kind of Czech project could qualify?

Czech projectPotential routeFirst question to resolve
Manufacturing a qualifying strategic productInvestment incentives for strategic productsDoes the specific product and investment meet the programme definition and minimum conditions?
Building a genuine R&D or engineering operationTechnology-centre investment incentiveWill the Czech operation carry out qualifying development work and meet investment and job thresholds?
Developing or producing a critical technologyA suitable STEP investment call, if open for the locationDoes the project meet the technology, readiness and European significance tests?
Research with a Czech university or companyA suitable bilateral or R&D call, when announcedAre the Czech and Taiwanese partners both eligible and ready to submit matching proposals?
Establishing sales, service or market representationCommercial market entry, with any support assessed separatelyIs the initial goal customer validation rather than a qualifying capital or research project?

The classification matters more than the company's industry label. A semiconductor firm opening a small European sales office is not automatically building a technology centre. Conversely, an engineering team with defined R&D activity may have a relevant route even if manufacturing stays in Taiwan.

Investment incentives: useful, but conditional

CzechInvest's investment-incentive overview covers manufacturing, technology centres, business support services centres and production of strategic products. Support is assessed against the applicant, project, location and applicable state-aid rules. It is not a Taiwan-specific entitlement.

For qualifying strategic products, CzechInvest lists medical products, chips, e-mobility and energy-production products. Its published package includes possible corporate income-tax relief for up to ten years, grants for qualifying new jobs and training, and a capital-investment grant of up to 20% of eligible costs. The published minimum investment in long-term assets varies by company size and the type of region: CZK 10–20 million for a small enterprise, CZK 20–40 million for a medium-sized enterprise and CZK 40–80 million for a large enterprise. These are thresholds for the relevant project category, not promised grant amounts. See CzechInvest's strategic-products conditions.

For a qualifying technology centre, CzechInvest publishes minimums of 10 new jobs and CZK 2.5 million in long-term assets for a small enterprise, 10 jobs and CZK 5 million for a medium-sized enterprise, and 20 jobs and CZK 10 million for a large enterprise. Potential instruments include tax relief and, where the detailed conditions are met, support for job creation and training. See CzechInvest's technology-centre conditions.

The figures often quoted as 20–40%, 30–50% or 40–60% refer to maximum total state-aid intensity for large, medium-sized and small enterprises respectively, depending on the region. They are not a cash payment of that percentage of the investment. The total can comprise different forms of support, and each form has its own limits. Group-level company size and the precise Czech location also matter.

One timing rule is especially important: the Czech public-administration portal says investment-incentive applications must reach CzechInvest before work begins on the investment project. The applicant's legal form, business history and eligibility also need to be checked early. A newly incorporated Czech subsidiary should not assume it qualifies simply because its parent has a strong balance sheet.

STEP: an opportunity tied to a live call

The Czech STEP investment call supports qualifying development and production of critical technologies with European significance. The published fields include semiconductors, AI, robotics, batteries, biotechnology and selected defence technologies. The current call lists grants of CZK 5–250 million and aid rates of 20–75%, subject to the regional aid map and detailed conditions. A project must already have reached at least technology readiness level 4, meaning the technology has been validated in a laboratory environment, and must satisfy a test concerning innovation and European market potential or reduced EU strategic dependence. Read the official STEP investment call.

Status checked on 27 September 2026: The STEP investment page lists a 15 October 2026 closing date, but applications for less-developed regions closed on 1 August after demand reached the call's limit. The page still presents the call as open for transition regions; applicants must confirm the live regional status before preparing a submission. This is a narrow, time-sensitive route, not a standing grant for every technology investment.

The separate STEP research and development call has already closed. Although its original timetable ran later, the responsible agency states that applications stopped on 11 August 2026 after requested funding reached three times the call's allocation. Its former grant range of CZK 10–150 million should therefore be treated as an example of the funding model, not as an offer open to new applicants today. Check the official STEP R&D status.

A Taiwan-specific research route exists, but it is not a general subsidy

The Technology Agency of the Czech Republic included Taiwan in its SIGMA bilateral applied-research call announced in April 2026. Czech enterprises or research organisations could join a project with Taiwanese partners supported through Taiwan's Ministry of Economic Affairs or National Science and Technology Council. The Czech-side call allowed up to CZK 20 million per project, subject to its rules.

That 16th call closed on 24 June 2026. It shows a real cooperation route, but a Taiwanese company cannot apply to the Czech agency on its own for a generic expansion grant. Both sides need an eligible research project and the corresponding applications when a suitable call is open. Read the TA CR call notice.

There is also a practical, Taiwan-specific point of contact. CzechInvest's Taipei office says it helps Taiwanese companies considering Czech investment or looking for research partners. That is advisory and facilitation support, not a cash subsidy. It can, however, help a company test the project category and find the right Czech contacts before it commits to a site or application.

How to assess a Czech expansion before counting on support

  1. Define the Czech function. Is it sales, field service, chip design, applied research, manufacturing or a combination? Put real activities and costs behind each function.
  2. Identify the applicant. Check which legal entity will employ staff, own assets, incur costs and hold the resulting intellectual property. Confirm its business history and group-level company size with the responsible authority or an adviser.
  3. Choose the location for operational reasons. Talent, customers, suppliers, utilities and logistics come first. Then test which regional aid rules apply to that location.
  4. Separate the funding instruments. Model tax relief, possible cash grants and competitive project funding separately. Check whether and how they can be combined.
  5. Check timing before commitments. An application, purchase order or start of work can change eligibility. Use the current official call documents, not an old presentation or headline rate.

For a smaller Taiwanese company, the best first move may be a partner search, customer pilot or defined university collaboration. For a larger manufacturer, the first decision may be where production, engineering and European customer support should sit. In both cases, the business case should work on its own merits; any public support should be assessed as a conditional addition.

The main conclusion

Taiwanese companies can access meaningful support in Czechia, especially for qualifying strategic manufacturing, technology centres and applied research. There is no automatic Taiwanese investor bonus and no universal 20–40% cash grant. Before choosing a site or beginning expenditure, define the Czech operation, verify the applicant and project category with CzechInvest or the relevant programme authority, and check whether the particular call is still open.

How Kodo can help

Kodo helps Taiwanese technology and industrial companies prepare the commercial and operational side of entering Czechia. We support early market validation, partner mapping, local positioning, English and Czech communication, web content and coordination of the first implementation steps. Where funding is relevant, this work can help the company describe its Czech function and connect with the right specialist; eligibility and applications require separate expert review.

For legal, tax, regulatory, certification and investment-incentive matters, companies should work with qualified specialists and the responsible authorities.

Contact Kodo


Related reading

Sources

This article provides general market-entry and investment information, not legal, tax, regulatory or investment advice. Companies should verify current requirements for their project, location and operating model with the responsible authorities.

Cover photo: Prague, photographed by Predrag Pavič.

A plan or an idea?

Working on a specific project? Talk to us.

Whether you are entering the Czech market or improving your local marketing, website, automation or AI setup, tell us what you need. We will suggest a practical next step.

Contact Kodo

Technology stack

We choose technology to fit the goal of each project

We are not tied to a single vendor. For each project, we select suitable AI models, automation and infrastructure, then connect them into one practical solution.

AI, automation and infrastructure

  • GoogleGoogle
  • ChatGPTChatGPT
  • ClaudeClaude
  • DeepSeekDeepSeek
  • LM StudioLM Studio
  • GitHubGitHub
  • n8nn8n
  • ObsidianObsidian
  • VercelVercel
  • CloudflareCloudflare
  • HetznerHetzner
  • MetaMeta

Hardware and AI servers

  • NVIDIANVIDIA
  • AMDAMD
  • ASUSASUS
  • LenovoLenovo
  • HPHP