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Chinese Investment in Taiwan: A Challenge or an Opportunity for Taiwan?
[journal article]
Abstract Cross-Strait economic activities are no longer unidirectional. The Taiwanese government opened the doors to Chinese investment in 2009. This paper addresses the following crucial question: What is the impact of Chinese investment on Taiwan’s high-technology industrial development? Two further questi... view more
Cross-Strait economic activities are no longer unidirectional. The Taiwanese government opened the doors to Chinese investment in 2009. This paper addresses the following crucial question: What is the impact of Chinese investment on Taiwan’s high-technology industrial development? Two further questions immediately follow: Will Chinese investment put Taiwanese industrial development at risk? Will an influx of Chinese investment lead to a turning point for Taiwanese industry? The paper first reviews Chinese investment in Taiwan under the framework of the Economic Cooperation Framework Agreement (ECFA) and then explains why we have chosen to focus here on the high-technology industry in Taiwan. It then outlines the main elements of Chinese outward foreign direct investment (OFDI) before seeking to answer the above research questions. Fieldwork for this paper was conducted from December 2014 to March 2016. Interviewees include Chinese investors, along with consultants from a Taiwanese institute created to promote industrial development.... view less
Keywords
bilateral relations; foreign investment; economic cooperation; Taiwan; high technology; economic agreement; industry; direct investment; development; China
Classification
National Economy
Economic Policy
Free Keywords
Economic Cooperation Framework Agreement; ECFA; cross-Strait economic activities; China's OFDI; Taiwan's industrial development
Document language
English
Publication Year
2017
Page/Pages
p. 37-59
Journal
Journal of Current Chinese Affairs, 46 (2017) 1
Issue topic
Assessing the Administration of President Ma Ying-jeou
ISSN
1868-4874
Status
Published Version; reviewed