Local government heads in central Taiwan proposed on Saturday that a free-trade zone be set up at Taichung Harbor in Taichung County to attract foreign investment.
The proposal was made at a regular meeting of the local leaders in response to a request by Japanese trading enterprise Itochu, Taichung City Mayor Jason Hu (胡志強) said.
Itochu’s representative in Taiwan said it hoped authorities would establish a free-trade zone in central Taiwan as a convenient investment hub, Hu said.
Itochu deals in textiles, machinery, information and communications, metals, oil and other energy sources, general merchandise, chemicals and foods. It has 17 domestic and 139 overseas offices.
Hu said that Itochu had invested heavily in China and that a free-trade zone in Taiwan would help it cut logistics costs between China and Japan, while creating new business opportunities for central Taiwan and benefiting all three countries, Hu said.
He said the newly developed Central Taiwan Science Park and cross-strait weekend charter flights launched in July had prompted Itochu’s interest in central Taiwan.
Lai Ying-hsi (賴英錫), director-general of Taichung County’s Department of Construction, said that Taichung Harbor would be a good free-trade location, given its size and direct access to shipping routes.
Investors could also use Taichung Airport, which is near the port and located within Taichung County, Lai said.
Changhua County Commissioner Cho Po-yuan (卓伯源) said many foreign enterprises might hesitate to invest in a free-trade zone, as regulations stipulate that at least 5 percent of a foreign company’s workers must be Aboriginal to qualify.
Cho said the central government should consider changing the rule to create an investment environment more favorable to foreign enterprises.
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