TAIPEI (Taiwan News) — Despite rising optimism about an eventual agreement between the United States and China to end the trade war, Economics Minister Shen Jong-chin (沈榮津) believes that Taiwanese businesses will continue their present policy of seeking alternatives to China and returning to the island.
The government’s policy of encouraging such moves has so far netted investment agreements totaling almost NT$700 billion (US$23 billion), a threshold likely to be crossed next week, with a year-end target of NT$800 billion, Liberty Times reported.
Trade friction between the U.S. and China has become a permanent fixture unlikely to make Taiwanese businesses change their mind, Shen told reporters Friday (November 8).
High-tech firms are returning to Taiwan, while more traditional sectors relying on cheap labor are investing in Southeast Asia, according to the minister.
While there are signs of Washington and Beijing moving closer to an agreement, there are obviously still differences of opinion within the Trump administration, Shen said. He added that the ministry would keep a close watch on future developments.