The government’s Invest in Taiwan initiative would be extended due to demand from Taiwanese businesses and an anticipated wave of reshoring amid an increasing threat of political pressure facing Taiwanese firms in China, Minister of Economic Affairs Wang Mei-hua (王美花) confirmed yesterday.
“There are still many projects awaiting approval in the pipeline and we are getting feedback from the business community that they would like the project to be extended,” Wang said.
The initiative offers businesses returning to Taiwan or seeking to upgrade their manufacturing facilities favorable loan terms, and assistance in seeking land and talent.
Photo: CNA
Details of the extension are pending cross-departmental discussions, Wang said.
Afterward, it would be sent to the Executive Yuan for approval, she said.
Wang’s remarks came after Chinese authorities last week hit Taiwanese conglomerate Far Eastern Group (遠東集團) with hefty fines for allegedly contravening regulations on environmental protection, land use, employee health, safety, tax and product quality.
Photo: Peter Lo, Taipei Times
National Development Council Minister Kung Ming-hsin (龔明鑫) yesterday said at the legislature that power restrictions in China and other factors have also caused changes in the investment environment there, which might accelerate the realignment of Taiwanese companies’ supply chains.
The council is discussing with the ministry the extended time frame and the extent of government assistance under the initiative, Kung said.
However, National Central University professor of economics Dachran Wu (吳大任) said the biggest wave of reshoring has probably already occurred amid US-China trade tensions.
Aside from Taiwanese manufacturers, the government should be looking to attract investors from around the world so that they can bring not only manufacturing, but services and financial invigoration to Taiwan, he said.
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