The Ministry of Economic Affairs on Friday approved nine small and medium-sized enterprises (SMEs) to participate in its Invest in Taiwan initiative, with the companies pledging to spend a combined NT$3.6 billion (US$121.6 million) to construct new plants and add automated production lines.
The nine companies include an industrial waste recycler, a custom furniture manufacturer, an automaker and an egg producer, the ministry said.
Since last year, it has given 286 SMEs approval to take part in the Small and Medium Enterprise Acceleration Program, it said, adding that investments totaling NT$118.3 billion have been pledged, and more than 11,389 local jobs would be created.
Among the latest investments approved, industrial waste recycler Yung Yuan Chemical Materials Corp (永源化工) plans to spend NT$400 million on building new factories with smart management technology in Taoyuan’s Dayuan Industrial Park (大園工業區), the ministry said in a statement.
Yung Yuan processes one-third of the heavy metal sludge in Taiwan, turning industrial waste into products such as copper powder that can be used for 3D printing, among other applications, the ministry said.
Egg producer Rui Fu Foods Co Ltd (瑞福食品) would be spending NT$300 million to build an advanced egg processing plant in Tainan’s Guantian District (官田), the ministry said, adding that it aims to improve speed and quality, as well as address food safety concerns.
Other projects would also expand production capacity and improve quality, said Ho Kun-sung (何坤松), chief operating officer and spokesman for the ministry’s InvesTaiwan Service Center.
The ministry’s program attracts companies by subsidizing bank processing fees, Ho said.
“They still have to negotiate with banks themselves, but program participants can usually push the interest rate down from 1.5 to 1.9 percent to less than 1 percent,” he said.
There are three programs under the Invest in Taiwan initiative. In addition to the Small and Medium Enterprise Acceleration Program, there is the Welcome Home program aimed at encouraging Taiwanese companies to bring production back home from abroad, and the Roots in Taiwan Program, which helps larger businesses expand capacity in Taiwan.
To be eligible for the programs companies must propose projects that raise their quality of production and create new jobs in Taiwan, the ministry said.
The ministry on Thursday approved two companies for the Roots in Taiwan program: LED and laser diode testing company Fittech Co Ltd (惠特科技) and aluminum parts maker Gutson Die Casting Co Ltd (煜益鋁業).
Fittech plans to invest NT$5.2 billion building a smart production base and operational headquarters at the Taichung Industrial Park (台中工業區), and expand its cleanroom facilities at Taichung Precision Machinery Science and Technology Innovation Park (台中精密機械園區), the ministry said.
Gutson Die plans to invest NT$300 million in a new smart factory at Taichung Port’s Kuang Lien Industrial Park (台中港關連工業區), the ministry added.
The three investment programs under the Invest in Taiwan initiative have so far brought in NT$1.05 trillion in investment pledges from 556 firms, creating 87,298 job opportunities, while 52 applications are still waiting to be reviewed, the ministry said.
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