TAIPEI (Taiwan News) – At least two dozen Taiwanese companies are considering returning to Taiwan amid the escalating trade war between the U.S. and China, said Minister of Economic Affairs Shen Jong-chin (沈榮津).
Taiwanese corporations involved with internet, communications, electronics, and transportation industries which have built a presence in China are mulling relocation back to Taiwan, including big name companies such as Quanta Computer (廣達), Compal Electronics (仁寶), Pegatron (和碩), Delta Electronics (台達電), and Sercomm Corporation (中磊), reported Liberty Times on Sept. 13.
The government of Taiwan will help address the issue of five shortages – namely land, water, electricity, labor, and talent – for the businesses that are planning to move back, remarked Shen. He added that resources will be invested in assisting the companies to embark on industry upgrades or shifting operations to New Southbound nations.
The proposed 25 percent tariffs on Chinese exports to the U.S. may have served as the final straw driving Taiwanese companies away from China, where the rising cost has already eaten away at some of the profits they make, Shen added.