Taiwan has shut down work, school and transport as the biggest typhoon to hit the island in decades barrels towards its east coast.

Kong-rey has been declared a “strong typhoon” by Taiwan’s Central Weather Administration (CWA), which said it was expected to be the largest storm to hit Taiwan since 1996.

Kong-rey was also expected to make landfall at the latest point in the typhoon season, which typically stretches from May to October, of any typhoon since 1967.

Authorities have warned people to stay inside due to a high risk of landslides, storm surges, destructive winds and flooding, with more than 1.2 metres of rainfall expected.

Storm trackers have measured Kong-rey as the equivalent of a category three to four hurricane. The most recent reports measured gusts of more than 225km/h, and sustained winds of 183 km/h near its centre. The large typhoon – with a radius of more than 320km and an eye of about 64km – prompted a warning for all of Taiwan’s main and outer islands.

It was expected to make landfall near Taitung on Taiwan’s south-east coast around lunchtime, before crossing the island and moving into the Taiwan strait. Weather modelling suggests the storm will weaken once it hits land, but maintain typhoon strength as it moves over Taiwan’s central mountain range, with its outer bands stretching to cover the whole island.

Early on its approach, Kong-rey had already brought strong winds and torrential rain to cities including the capital, Taipei, in the north, where above-ground metro services were suspended. Schools, businesses, financial markets, and national parks have shut across Taiwan for the day.

Lanyu Island, which sits offshore of Taitung and was in the direct path of Kong-rey, reported record high sustained winds of more than 213km/h, as well as gusts above 260km/h before wind barometers went offline.

“The size of the storm is very large and the winds are high,” said CWA forecaster Gene Huang.

About 8,600 people had been evacuated from at-risk places. Scheduled military exercises were cancelled due to the typhoon – for the second time this year – and more than 30,000 troops were diverted to standby for disaster response. On Thursday morning, authorities had already issued 63 landslide warnings, and recorded four. Contact had reportedly been lost with two Czech nationals inside Taroko national park, near Hualien.

Hundreds of domestic and international flights were cancelled or rescheduled, and fishing boats and ferries recalled to harbours on Wednesday. Ship traffic trackers showed the usually busy waters around Taiwan were almost entirely empty on the island’s east.

Additional reporting by Chi-hui Lin and Reuters