Taiwan approves huge hi-tech investment in China

Dec 17, 2010

Taiwan's government on Friday gave the green light for a plan by the island's leading flat panel maker AU Optronics Corp. to invest three billion US dollars in China.

"The Commission approved the case since it meets relevant regulations governing investment on the mainland," the commission said in a statement.

The application, which was submitted to the government eight months ago, proposes the construction of a liquid crystal display plant in eastern China's Kunshan city.

The decision came as five Taiwanese flat panel makers, including AU Optronics, were slapped this week with huge price-fixing fines by the European Commission, a move the island's government feared will hurt the industry.

The plan has also attracted special attention as it is seen by many as a barometer of the government's relaxation of long-standing restrictions on high-tech investment by local companies in China.

relaxed the rules earlier this year, but local high-tech firms such as AU Optronics still need to keep more advanced technologies at home when applying to invest in China.

Taiwan's opposition has repeatedly warned against easing controls, fearing closer economic integration will cost jobs as the island loses out to China's cheaper workforce.

But Taiwan's high-tech businesses have increasingly called for the rules to be relaxed, pointing out that their competitors from and Japan have been stepping up activity in China.

Ties between and China have improved markedly since President Ma Ying-jeou came to power in 2008 on a Beijing-friendly platform.

Explore further: EU Parliament votes to break up Google

add to favorites email to friend print save as pdf

Related Stories

Recommended for you

EU Parliament votes to break up Google

Nov 27, 2014

The European Parliament voted overwhelmingly for the break-up of Google Thursday in a largely symbolic vote that nevertheless cast another blow in the four-year standoff between Brussels and the US Internet ...

Toyota finds new air bag issue, recalls more cars

Nov 27, 2014

Toyota Motor Corp. recalled more than 40,000 vehicles in Japan on Thursday as part of a worldwide scare over defective air bags and is investigating a new type of air bag problem that could lead to further recalls.

Netflix sues Yahoo CIO for alleged kickbacks

Nov 26, 2014

Netflix is suing a former company vice president who is now chief information officer at Yahoo, accusing him of receiving money from vendors he hired to work with the video streaming company.

User comments : 0

Please sign in to add a comment. Registration is free, and takes less than a minute. Read more

Click here to reset your password.
Sign in to get notified via email when new comments are made.