Taiwan's China-bound Investment Shoots Up 145% in May

Taipei, June 25, 2008 (CENS)--Taiwan's China-bound investments witnessed a whopping annual growth of 145.12% to US$1.157 billion in May of this year, according to the statistics released by Investment Commission under the Ministry of Economic Affairs (MOEA).

A senior official at Investment Commission indicated that in May the Investment Commission approved a total of 55 China-bound investment cases and most of them were capital increment and a few were new ventures. Among major applications were two notable high-tech investments: one involving US$90 million to be invested by Advanced Semiconductor Engineering Inc. in its package plant in China; and the other the US$100 million to be invested by Powertech Technology Inc. (PTI) in its subsidiary there.

In the first five months of the year Investment Commission approved China-bound investment totaling US$4.104 billion and outbound investment of US$2.136 billion, both showed rises. However, in the same period Taiwan-bound investment experienced an annual decline of 12.82% to US$3.037 billion.

MOEA hoped that the new government's relaxed policy toward China would not only encourage more Taiwan enterprises to invest in China, but also attract more incoming foreign investors. In 2006 Taiwan-bound investments hit a new high of US$13.9 billion and a year later the figure shot up to a record US$15.3 billion, although such investment tumbled 12.8% in the first five months of this year.