Wed, Jul 18, 2012 - Page 13 News List

Private investment rises to US$4.53bn in Taiwan

TURBO-CHARGED:A series of large-scale plans by firms representing the country’s high-tech and retail sectors have boosted the cash being pumped into new projects

By George Liao  /  Staff reporter, with CNA

New private investment in Taiwan reached NT$136 billion (US$4.53 billion) last month, up from NT$75.2 billion recorded in May, according to statistics released yesterday by the Ministry of Economic Affairs.

The ministry said the significant increase in new private investment last month reflected several large-scale investment plans by local high-tech and retail sectors.

Last month, machine tool manufacturer Hiwin Technologies Corp (上銀科技) began to invest NT$28 billion in production capacity expansion, while contract chipmaker Taiwan Semiconductor Manufacturing Co (台積電) announced it would invest NT$12.2 billion in production equipment purchases.

In addition, Far Eastern Department Stores Ltd (遠東百貨) has invested about NT$6 billion to build a shopping mall in New Taipei City (新北市), while Siliconware Precision Industries Co (矽品精密), a major integrated circuit packaging and testing services provider, is injecting NT$5 billion to upgrade its production facilities.

In the first six months of this year, private investment totaled NT$698 billion in 1,204 projects, accounting for about 63.46 percent of a goal of NT$1.1 trillion of private sector investment for this year set by the government, according to the statistics.

The NT$698 billion in new private investment in the six-month period grew about 10 percent from the corresponding period last year on the back of solid growth in new investment in the electronics and information business, which totaled NT$250.1 billion, the data showed.

During the first half, the wholesale, retail and logistics sectors garnered NT$55.8 billion in new investment, while the chemical industry received NT$156.6 million in new investment and NT$35.7 billion from the technology services sector, the data showed.

In the six-month period, foreign investment totaled US$6.89 billion and investments by overseas Taiwanese companies reached NT$28.4 billion, according to the ministry.

To help foreign investors remove investment hurdles in Taiwan, a Cabinet-level service center yesterday said it had served 95 cases in the first six months, up 42 percent from a year earlier.

Of the 95 cases, 33 investment cases were registered by Japanese firms, followed by 19 cases by US and Canadian firms, according to data released by InvesTaiwan Service Center.

“Investment cases from the US and Europe decreased, while those from Japan increased in the first six months, compared with the same period last year, which is in line with the economic situation in both Europe and the US,” InvestTaiwan CEO Christophe Lai (賴作松) said.

“On a cumulative basis, the center has served 327 cases since its inception in 2010, including 175 cases that were completed realizing investments totaling NT$28.5 billion, creating 8,500 jobs,” Lai said.

Major investment cases receiving help from the service unit in the first six months included a NT$3 billion investment by US-based Super Micro Computer Inc, a NT$440 million project by Japan-based JSR Micro Taiwan Co, a NT$3.2 billion investment by Panasonic Taiwan Co, a NT$2.1 billion investment by Furukawa Circuit Foil Taiwan Corp and a NT$2.4 billion investment by France-based Decathlon sporting goods chain store, as well as investments by Hitachi Chemical Co to open a new plant, Lai said.

It is worth noting that in the services sector, US-based Avis car rentals was introduced to Taiwan last month, he added.

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