Jan 22, 2012

Taiwan - Chinese firms invest $235 mln in Taiwan in 3 years



TAIPEI - Taiwan's government said Saturday that Chinese firms had invested around $184 million (S$235 million) on the island since it relaxed rules on mainland investment in mid-2009 amid warming relations.

A total of 204 Chinese companies have set up subsidiaries on the island or invested in local firms in less than three years in a sign of closer trade ties, said the Mainland Affairs Council.

Chinese investors are permitted to buy into nearly 250 categories in the island's manufacturing, service and infrastructure sectors, according to the council, Taiwan's top China policy-making body.

"The government will continue to attract more mainland investors to Taiwan to promote balanced development in bilateral trade," it said in a statement.

Taiwanese companies have for years invested huge sums in China. Last year, the island's authorities approved 575 China-bound investment cases totalling $13.1 billion.

Ties with China have improved markedly since Beijing-friendly Ma Ying-jeou became Taiwan's president in 2008. He was re-elected last week for a second four-year term.

Officially, Beijing still views Taiwan as part of its territory awaiting reunification, by force if necessary. The two sides have been governed separately since they split after a civil war in 1949.

AFP



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