Written by Chia-Yuan Huang.
Image credit: 辜振甫先生紀念圖書館 by Wei-Te Wong/ Flickr, license: CC BY-SA 2.0.
Before the COVID-19 pandemic swept the globe in 2020, students from mainland China had long been the largest source of international students for higher education institutions in Taiwan. However, significant changes occurred as a result of border controls during the pandemic. Since 2020, Taiwan’s higher education system has faced continuous impacts from the pandemic, leading to a dramatic decline in the number of international student entries. As the pandemic gradually eased and former President Tsai Ing-wen actively promoted the New Southbound Policy after taking office in 2016, the number of international students in Taiwan not only started to increase again post-pandemic but there was also a notable shift in the composition of countries of origin. According to statistics, from 2020 to 2024, there has been a significant change in the number of international students choosing to study in Taiwan, with the primary countries of origin shifting from mainland China to Southeast Asian nations such as Vietnam, Indonesia, and Malaysia. This trend indicates that the internationalisation of Taiwan’s higher education is evolving toward diversification rather than solely relying on students from mainland China.
For internationally mobile students, studying abroad is not just an opportunity for quality education; it is also a pathway to acquire professional skills that may not be available in their home countries. According to research by King and Sondhi, international students enhance their competitiveness in the global labour market through their study abroad experiences, enabling them to seize more international job opportunities. For some students, studying abroad may even serve as the first step towards long-term immigration plans.
From the host country’s perspective, having international students with higher education backgrounds is often advantageous for long-term integration into the local labour market compared to other types of immigrants. These students usually possess strong language skills and professional expertise, allowing them to quickly adapt to the work environment, thus contributing positively to the economic development and social integration of the host country. Therefore, attracting international students and encouraging them to remain and work locally after graduation has gradually become an important strategy for many countries. For example, the Japanese Government has actively recruited young Taiwanese students to study in Japan in recent years. It has also encouraged them to settle and work locally after completing their studies. This effort aims to address the country’s increasingly serious ageing and declining birthrate issues and fill the labour shortages resulting from an ageing population.
Since 2014, Taiwan’s Ministry of Labor has implemented a points-based system to ease application restrictions for international students wishing to engage in professional or technical work after graduation, prioritising applications for work permits from international students who have studied in Taiwan, thus creating favourable opportunities for them to stay and work in Taiwan. However, due to relevant laws, students from mainland China are unable to remain in Taiwan to work after graduation. Based on 2024 statistics, among the international students who studied in Taiwan and obtained valid employment permits, the top three nationalities are Malaysia, Indonesia, and Vietnam, with students from these three countries accounting for 76% of the total, indicating a significant advantage in sources, and this figure shows rapid growth compared to previous years.
However, it is noteworthy that while Malaysia has been the largest source of Southeast Asian students in Taiwan for many years, the number of Malaysian students studying in Taiwan has shown a declining trend. Since 2019, the number of Malaysian students studying in Taiwan has fallen below that of Vietnam, and since 2021, it has also fallen below that of Indonesia, currently ranking third. In 2024, the number of Malaysian students coming to Taiwan is around 10,000. If this trend does not improve, that number could fall below 10,000 in the next two to three years. The root of this phenomenon may be influenced by multiple factors: first, Malaysia is one of the countries along mainland China’s Belt and Road initiative. China aims not only to promote bilateral education and talent exchange but also to deepen long-term ties and cooperation between the two countries in fields such as trade and culture. As a result, in recent years, mainland China has actively attracted Chinese Malaysian students, undoubtedly capturing some of the market that once belonged to Taiwan. Additionally, more higher education institutions are emerging in Malaysia, particularly the establishment of Chinese-language institutions, allowing students to receive a quality education at home, thus reducing the need for studying abroad. Furthermore, the depreciation of the Malaysian ringgit has increased the overall cost of studying abroad—including tuition, housing, and living expenses—further diminishing students’ willingness to pursue higher education in Taiwan. The declining birthrate among the Malaysian Chinese community has led to a decline in the college-age population, which also impacts the total number of students seeking to study abroad.
In contrast, while the number of white-collar workers from Indonesia and Vietnam in Taiwan in 2024 is still lower than that of Malaysia, the growth rates of both the number of students studying in Taiwan and white-collar workers from Indonesia and Vietnam are noticeably faster than those from Malaysia. By 2025, the possibility that the number of Indonesian and Vietnamese white-collar workers in Taiwan will surpass that of Malaysia should not be overlooked.
In this context, targeted admission policies should be developed for New Southbound countries to promote the diversification of international student sources and increase the number of students remaining in Taiwan for work. These could include measures such as offering scholarships, lowering tuition fees, or providing tuition instalment payment options to attract more international students to Taiwan for their studies. Additionally, companies should be encouraged to provide internships and job opportunities for overseas students and to set up career guidance and development courses to help them better integrate into the Taiwanese job market. Taiwan should fully capitalise on the current economic and educational environment changes, enhancing the formulation and implementation of policies to attract more international students from diverse countries, aiding their long-term development in Taiwan, and thereby contributing to Taiwan’s economic and social progress.
In conclusion, the shifting dynamics of international student populations in Taiwan reflect broader regional and global trends influenced by policy initiatives, economic factors, and demographic changes. As Taiwan continues to evolve its higher education and labour market strategies, a focus on diversification and targeted engagement with New Southbound countries will be critical. By addressing the challenges faced by students from countries like Malaysia while leveraging the growing interest from Indonesia and Vietnam, Taiwan can strengthen its position as an attractive destination for international education. These efforts, combined with well-designed policies to facilitate the transition of international students into the local workforce, will not only enhance Taiwan’s global competitiveness but also contribute significantly to its economic and social development in the years to come.
Chia-Yuan Huang is an Assistant Professor at the College of Education at Tamkang University.
This article was published as part of a special issue on ‘Farewell 2024, Fresh start 2025?’.
Taiwan Insight 