As promised, the Chen administration has eased its investment policies relating to China with the adoption of its "proactive opening, effective management" strategy. \nHowever, pundits doubt that many currently illegal investors will submit to the second leg -- or "effective management" -- of the government's new cross-strait investment regime. They also doubt whether that specific action is needed on direct links with China. \nOver the past five years, however, a large number of Taiwanese citizens have invested in businesses in China without applying for permission and without reporting their activities to the government. \nThis is largely because of legal prohibitions under the "no haste, be patient" policy, which limited the types and size of investments businesses could make in the PRC. Also, businesses avoided registering to save time and money. \nAccording to a number of private surveys, the number of Taiwanese citizens investing in China is currently estimated at between 300,000 to 500,000, yet the Investment Commission (投審會) of the Ministry of Economic Affairs (經濟部), only lists 23,754 registrations for legal investment projects in China. Instead of continuing feigned ignorance of the large number of illegal investments in China, the government lifted its partial ban Wednesday in an effort to encourage businesses to report investments in China and repatriate funds to Taiwan. \nTsai Ing-wen (蔡英文), chairwoman of the Mainland Affairs Council emphasized that the "effective management" leg of the new policy is designed to facilitate businesses' efforts in China. \nShe said it is a convenient way for Taiwanese investing in China to report their projects -- enhancing market mechanisms without limiting the companies' ability to profit from opportunities in China. \n"Creating the management system is just like setting up traffic lights to control heavy traffic -- the purpose of setting up traffic lights is to help smooth traffic, not to stop it," Tsai said.
‘NO EQUILIBRIUM’: Taiwan’s increased defense spending is a good step, but it needs to do more to have the ability to deter aggression from China, a senior US official said The US plans to sell as many as seven major weapons systems — including mines, cruise missiles and drones — to Taiwan, four people familiar with the discussions said. Pursuing seven sales at once is a rare departure from years of precedent in which US military sales to Taiwan were spaced out and carefully calibrated to minimize tensions with Beijing. However, US President Donald Trump’s administration has this year become more aggressive with China, and the sales would land as relations between Beijing and Washington are at their lowest point in decades over accusations of spying, lingering trade tensions, disputes about the
CLOSE ENCOUNTERS: Several of the PLA fighter jets that crossed the median line of the Strait came within 68km of Hsinchu, drawing warnings from Taiwan, the ministry said At least 18 Chinese military aircraft yesterday flew into the nation’s air defense identification zone (ADIZ) on the second day of a US delegation’s visit, the Ministry of National Defense said, adding that the military responded by deploying an air defense missile system to monitor their activities. A delegation led by US Undersecretary of State for Economic Growth, Energy and the Environment Keith Krach on Thursday started a three-day visit to Taiwan. The ministry from Thursday started publicizing the actions of the Chinese People’s Liberation Army (PLA) in Taiwan’s ADIZ on its Web site and Twitter. According to ministry reports, 18 PLA aircraft
TWO CASES: The five allegedly conspired with conglomerates, threatening the nation’s governance and subverting the rules of ethical conduct, a deputy chief prosecutor said Taipei prosecutors yesterday charged three legislators and one former lawmaker with contravening the Anti-Corruption Act (貪污治罪條例) in a case linked to former Pacific Distribution Investment Co (太平洋流通) chairman Lee Heng-lung’s (李恆隆) battle with the Far Eastern Group (遠東集團) over ownership of the Pacific SOGO Department Store (太平洋崇光百貨) chain, while independent Legislator Chao Cheng-yu (趙正宇) was indicted in a separate case involving two funeral services companies and a plot of land in a national park. Chinese Nationalist Party (KMT) legislators Chen Chao-ming (陳超明) and Sufin Siluko (廖國棟), Democratic Progressive Party (DPP) Legislator Su Chen-ching (蘇震清) and former New Power Party legislator
Swedish Member of Parliament Hampus Hagman is pushing for changing the name of the nation’s trade office in Taipei to signal improved relations with “Asia’s perhaps foremost democracy.” Hagman on Wednesday last week proposed renaming the Swedish Trade and Invest Council to “Sweden’s Office in Taipei,” following similar changes by other nations. The Swedish Trade and Invest Council, part of Business Sweden, is owned by the Swedish government and Swedish industry. Taiwan and Sweden share important values such as respect for democracy, human rights, the rule of law and freedom of speech, Hagman said in the motion, adding that the two nations