Health Minister Chen Shih-chung said measures were toughened nationwide because locally transmitted cases have been reported in more than half of Taiwan's jurisdictions, DPA reported.
Under the restrictions, until May 28, residents must wear masks at all times time outdoors. Outdoor and indoor family and social gatherings with more than 10 and five participants, respectively, are prohibited.
On Wednesday, the Central Epidemic Command Centre (CECC) reported 267 locally transmitted coronavirus cases and eight imported cases.
As of Wednesday, Taiwan, an island of 23.6 million people, has confirmed a total of 2,533 cases since the outbreak of the pandemic, including 1,386 locally transmitted cases, as well as 14 virus-related deaths.
Taiwan, which controlled the virus well last year, is now experiencing the worst situation since the outbreak of the pandemic.
In the past five days, more than 1,200 locally transmitted cases were reported. Most patients were infected by the variant that first emerged in Britain.
Currently, 29 patients are in critical condition, the CECC said.
On Wednesday, Taiwan received its second batch of Covid-19 vaccines through the global vaccine-sharing initiative COVAX. The timely arrival of the 410,400 doses of the AstraZeneca vaccine somewhat help ease the pressure in Taiwan, whose vaccination rate remains under 1 per cent.
COVAX has allocated a total 1.02 million doses for Taiwan.
The first batch containing 199,200 AstraZeneca doses arrived April 4.