Hydroacoustic surveys at the accretionary wedge southwest of Taiwan reveal a confined active hydrocarbon seepage area of ~ 49,000 m2 in ~ 1350 m water depth on the northern crest of the Four-Way Closure Ridge, which we call Yam Seep. In this study, multibeam and side-scan sonar data acquired during surveys with an autonomous underwater vehicle during an expedition with R/V Ocean Researcher I in 2017 showed that the area is characterized by rough topography and high seafloor backscatter. Seafloor observations with a video sled and sediment sampling with gravity corers and the MeBo seafloor drill rig during an expedition with R/V SONNE in 2018 revealed that the area is almost entirely covered by intensely fractured methane-derived carbonates, which indicate that seepage has been ongoing for thousands of years. Hydroacoustic anomalies (‘flares’) in the water column indicated the presence of several gas bubble emission sites mostly at the center and eastern flank of the area in 2019. Drilling through massive carbonates in the northwestern part of Yam Seep induced free gas escape from a depth of ~ 5.1 m. This suggests the presence of gas hydrates in the subsurface as the seep area is located well within the gas hydrate stability zone. The inter-disciplinary investigations of the Yam Seep demonstrate that upward migration of light hydrocarbons and seafloor discharge has a considerable influence on the seabed properties.