The Institute for Information Industry (III) yesterday signed a memorandum of understanding with the Nanjing Bureau of Foreign Trade to explore an estimated US$100 million in IT services-related offshore business opportunities in China over the next five years.
Nanjing Bureau of Foreign Trade deputy commissioner Chao Shiao-jiang (趙曉江) told the signing ceremony in Taipei yesterday that Nanjing planned to offer a series of commercial incentives to Taiwanese businesses in areas such as taxation, manufacturing and operations starting in September.
Possible cooperation opportunities include digital manufacturing, car parts distribution or automation, digital management and other information technology (IT) applications in medical insurance, financial services and green technology, as well as sharing business knowledge, III president Ke Jyh-sheng (柯志昇) said.
“Data from the Department of Statistics and the Institute for Information Industry showed that over the last four years, the domestic IT services industry posted double-digit annual compounded growth rate of 12.6 percent while related net exports grew 21.6 percent,” Industrial Development Bureau Director-General Woody Duh (杜紫軍) said yesterday.
The World Information Technology Services Alliance’ 2008 Digital Planet research projects that global IT market value would reach more than US$1.2 trillion by 2011, with the Chinese market serving as the major growth engine for Asia’s IT business in the next four years given its vast demand, Duh said.
To meet this challenge, Duh proposed developing a cross-strait commercial platform covering “exchange, negotiation and collaboration” over the next three years.
“Given the robust growth in cross-strait IT trade and its increased international competitiveness, China and Taiwan are fast becoming global headquarters for IT-related innovations,” said Hung Jing-yi (洪京一), executive director of China Electronic Commerce Association, who is also the committee general secretary of the China Center of Information Industry Development.
As more than 50 percent of Taiwanese IT firms have moved part of their business to China, collaboration has become imminent, Hung said.
The cross-strait IT exchange marks the first milestone under IDB’s bridge project.
The two-day exchange ends today.