March 27, 2026

On March 22, the Taiwan Transnational Corporations Watch (TTNC Watch) held a forum to launch the “Human Rights Impact Report on Taiwanese Businesses in Thailand.” The report reveals the human rights impacts of Taiwanese enterprises operating and investing in Thailand, and calls on the government to strengthen oversight of Taiwanese companies’ responsibilities in their overseas investments and value chains.

The event also invited Minister without Portfolio Ming-Hsin Lin of the Executive Yuan, Deputy Head of the European Economic and Trade Office Lukas Gajdos, and Executive Secretary Hsiao-Han Tsou of the National Human Rights Commission to share their perspectives and respond to discussions on the development and importance of business and human rights in Taiwan.

About the Human Rights Impact Report on Taiwanese Businesses in Thailand

The report covers a research period from May to July 2025. Its methodology includes qualitative interviews with factory workers, tracking relevant judicial cases, and analysis of existing literature.

According to the forum, Taiwan’s investment in Thailand has long been concentrated in the manufacturing sector. From 2007 to 2025, manufacturing accounted for 62.1% of Taiwan’s total investment in Thailand, with electronic components, as well as computer, electronic, and optical product manufacturing being the primary categories.

The report selects three representative companies from different industries, electronics, rubber, and apparel, as case studies. Preliminary findings indicate that the main human rights impacts are concentrated in the following areas:

• Restrictions on the formation and operation of labor unions
• Unsafe and unhealthy working conditions
• Lack of transparency in corporate governance

TTNC Watch has already contacted the companies identified in the report and has begun receiving responses and explanations. The full report is expected to be released in due course.

Taiwan Lacks Guidance on Human Rights Impacts of Overseas Business Operations

The United Nations Guiding Principles on Business and Human Rights (UNGPs) state that governments should clearly communicate to all business enterprises within their territory and/or jurisdiction the expectation that they respect human rights throughout their operations. In practice, states should:

• Enact and enforce laws requiring businesses to respect human rights
• Ensure that company law and related policies do not hinder human rights protections
• Provide effective guidance to enterprises on how to respect human rights in their operations
• Encourage or require businesses to disclose their human rights impacts and mitigation measures

Among these, providing “effective guidance” is a critical component. In cross-border operations, companies often face differing legal frameworks and risk environments. In particular, when operating in conflict-affected or high-risk areas, the absence of clear guidance makes it difficult for companies to implement due diligence and risk management in a manner consistent with human rights standards.

Although the Taiwanese government has gradually established a policy framework on business and human rights, it still lacks clear guidance for Taiwanese companies operating overseas, with current efforts largely limited to the provision of information.

The first edition of the National Action Plan on Business and Human Rights (NAP), released in 2020, only proposed general directions under “administrative management of outbound investment” and did not provide concrete guidance. These directions included establishing a central-level inter-agency coordination mechanism, studying foreign regulatory models, strengthening review and supervision of outbound investments, and exploring whether regulations should apply to overseas Taiwanese businesses in areas such as anti-discrimination, labor, and environmental protection.

In addition, Executive Yuan’s communications on outbound investment emphasizes assisting overseas Taiwanese businesses in sustainable operations, including promoting corporate social responsibility, ESG (environmental, social, and governance), and net-zero emissions, while encouraging businesses to respond to global sustainability trends.

Finally, according to the draft “Taiwan Business and Human Rights Due Diligence Plan” released in October 2025, companies will be required, in phases, to conduct human rights due diligence on their own operations and global supply chains starting in 2026, and to disclose related information in sustainability reports beginning in 2027. However, the plan focuses primarily on disclosure requirements, and its initial phase applies only to large listed manufacturing companies with annual revenues exceeding NTD 50 billion.

As of February 2026, Thailand ranks first among countries receiving Taiwan’s approved outbound investment, totaling over USD 98 million. Ensuring that Taiwanese enterprises respect human rights in their overseas operations will therefore become a critical issue in the development of Taiwan’s economic policy.