Abstract This study is dedicated to discussing Semiconductor Industrial Cluster competitive advantages on both shores of the Taiwan Straits, and finding out Taiwan IC design industries co-competition strategies with Main Land China. The theory base on the Industrial Cluster by Michael E. Porter. The analytical tool is Diamond Structure of The Competitive Advantage of nations by Michael E. Porter. There are four dimensions¡GFactor Endowments, Demand Conditions, Firm Strategy, Structure, and Rivalry, Related and Supporting Industries, and another two factors¡G Government and Chance. The conclusions of this study are presented as follows: 1. Taiwan IC design industries must make use of Main Land China IC design resource to increase Taiwan competitive advantages. 2. For increase IC design human resource supply purpose. The industrial policy made by Taiwan government must be changed to recruit Hi-Tec engineer from Main Land China. 3. Taiwan has on geography and culture market competitive advantage, IC design industries should participate in establishing China industrial standard. 4. Build up Taiwan's own brand. 5. Build up patent alliance to increase Taiwan IC design industrial competitive advantages. 6. Globalize the enterprise-integrated resource.