Tue, Mar 06, 2018 - Page 3 News List

Academics warn about China’s gift

BRAIN DRAIN:Beijing’s incentives program offers opportunities for Taiwan’s firms, but risks heating up competition for talent, an industry leader said

By Yang Fu-i and William Hetherington  /  Staff reporter, with staff writer

“We have no option but to seek opportunities abroad if Taiwan fails to provide a favorable investment environment,” Wong said.

FPG operates more than 10 production bases in China, with investments in the petrochemical, electric material and machinery industries, its Web site showed.

Additional reporting by Kuo Chia-erh

China’s 31 incentives for Taiwan

Investments

■ The same policies will apply to both mainland enterprises and enterprises invested by Taiwanese compatriots in mainland China (hereafter referred to as Taiwanese-funded enterprises). The government encourages Taiwanese businesspeople to invest in and establish high-end manufacturing, smart manufacturing, green manufacturing and other enterprises in mainland China; and to establish regional headquarters and research and development design centers. Correspondingly, Taiwanese-funded enterprises can enjoy policies related to taxes, investments and others that support these endeavors.

■ Taiwanese-funded enterprises can, using a franchise model, participate in the establishment and construction of energy, transportation, water resources, environmental protection, municipal public works and other infrastructure.

■ Taiwanese-funded enterprises can participate in government procurement fairly.

■ Through joint-venture cooperations, mergers, restructuring and other methods, Taiwanese-funded enterprises can participate in the mixed-ownership reform of state-owned enterprises.

■ The government will continue to establish cross-strait industrial cooperation regions in midwestern and northeastern China. It encourages Taiwanese-funded enterprises to transfer to midwestern and northeastern China and participate in the “One Belt, One Road” initiative, and to expand the domestic and international markets. It will aggressively push the establishment of demonstration areas for Taiwanese-business investment and cross-strait environmental protection cooperation.

Technology and R&D

■ The government will assist and support qualified Taiwanese-funded enterprises to enjoy preferential tax policies for new high-tech enterprises according to the law, including: a reduced corporate income tax rate of 15 percent; eligibility for weighted deductions for research and development fees; and full refunds of value-added taxes when research and development centers established in mainland China purchase mainland equipment.

■ Independent legal entities registered in mainland China by Taiwanese science and technology research institutions, institutions of higher education and enterprises can lead or participate in the declaration of key projects in the national research and development plan and enjoy the same policies as mainland science and technology research institutions, higher education institutions and enterprises. Science and technology researchers in the Taiwan area employed by independent legal entities registered in mainland China can act as the responsible person for key projects in the national research and development plan in the declaration and enjoy the same policies as mainland Chinese science and technology researchers. In terms of Taiwanese region intellectual property rights transferred to mainland China, the mainland Chinese intellectual property rights incentive policy can be applied.

This story has been viewed 4062 times.

Comments will be moderated. Remarks containing abusive and obscene language, personal attacks of any kind or promotion will be removed and the user banned.

TOP top