The US Geological Survey says a magnitude 6.6 earthquake hit Taiwan just off its north-east coast late on Saturday (Sunday AEST).
The earthquake struck at 11.05pm local time, 32 kilometres from the coastal town of Yilan.
Tremors were felt across the island, including in the capital of Taipei, where buildings shook from the shock.
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One resident in Yilan County described how a building shook first vertically and then horizontally.
“It kept on shaking for a while. Then I ran out, but most people did not run out. I was scared," he said.
The epicentre was 70 kilometres deep, and there were no immediate reports of widespread damage or casualties.
Local television showed hanging TVs swaying inside an office building, and spilled cleaning products and broken bottles that had fallen off supermarket shelves.
In a social media post, Taiwanese President William Lai Ching-te urged residents to be alert for possible aftershocks.
Al Jazeera reported that the Taiwan Semiconductor Manufacturing Company, one of the world's largest chip manufacturers, temporarily evacuated staff from some of its plants after evacuation thresholds were reached.
The affected staff have since returned to work.
The Taiwan Power Company said about 3000 homes briefly lost electricity during the quake.